Noble International Journal of Economics and Financial Research

Online ISSN: 2519-9730 | Print ISSN: 2523-0565

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Volume 5 Number 3 March 2020

DOES INTERNALLY GENERATED REVENUE (IGR) HAVE THE POTENTIAL TO ENHANCE FISCAL VIABILITY OF STATE GOVERNMENTS IN NIGERIA?

Pages: 40-49
Authors: Kazeem FASOYE
Abstract

The study examined the determinants of Internally Generated Revenue (IGR) of State governments in Nigeria with a view to examining the potential of independent revenue sources open to this tier of government. A technique of Fully Modified Ordinary Least Squares (FMOLS) was employed and the results revealed that the main determinants of IGR for the States are the PAYE and Road taxes as these two IGR sources appeared to be less affected by the prevalence of corrupt practices in Nigerian public sector. The study concluded that State governments in Nigeria have failed over the years to optimally harness other sources of internal revenue open to them.

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