Full Project – THE EFFECT OF PRIVATIZATION AND COMMERCIALIZATION OF GOVERNMENT OWNED INDUSTRIES

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ABSTRACT

The monoculture economic nature of Nigerian economy a short falls in foreign exchange generation, when the global oil glut reduce the unit cost of barrel of oil to as low as nine dollars ($9.0).

Hitherto, the fantastic earnings from sale of oil has effectively be cushioned, the poor ratios of dividedness from investments holdings public enterprises in Nigeria.

Therefore, this research represents an attempt to search for the effects, which the privatization and commercialization of government owned enterprise had on the life of these enterprises.

The thesis as well seeks to know whether a continuation and execution of the programme or out right refection based on its findings.

CHAPTER ONE

INTRODUCTION

1.1                        BACKGROUND OF THE STUDY

The period of 1972 to 1980; was a period described in the history of Nigerian economy as the period of oil boom within which time incoherent application of generated revenue from sale of crude oil was made.

The various government many medium scale industries in various part of their country, some of these industries so established import as mush as 90 percent of raw material imputer from oversea countries.

The down turn of the Nigeria economic fortunes, which resulted from global oil glut has a great negative impact on the economy and which, depended on the revenue from crude oil finance her their input oriented economy to as much as 85% could not be unaffected in 1986, the Nigerian government applied for a loan of N 2.3 billion from the international monetary funds to finance her acting economy.

The international monetary fund hence, presented as set conditional ties, which will qualify Nigeria for loan.

One of these conditional ties was reduction of government expenses on public parasitical. The government as an avenue that will not only reduce government expenditure portfolio, but also generate the much-needed revenue to finance other sectors of the economy exploited this proposal.

The premier breweries Ltd incorporated within the period of oil boom precisely 23rdJanuary 1976, with (80%) eighty percent Anambra state, the ten percent (10%) equity held by the Nigerian bank for commerce and industries and ten percent by the Nigeria industries development bank (NIDB). Although, the brewery has not made a loss in the past, it has not failed to achieve the set objective of the promoters.

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Full Project – THE EFFECT OF PRIVATIZATION AND COMMERCIALIZATION OF GOVERNMENT OWNED INDUSTRIES