The Impact of Technological Advancement on Economic Development of Nigeria

Abstract

This study investigates the impact of technological advancement on economic development in Nigeria, with specific focus on Information and Communication Technology (ICT), education technology, and banking technology innovation. Motivated by the paradox of documented technological progress in Nigeria alongside persistently stunted economic development, the study employs ordinary least squares (OLS) regression analysis on data spanning 2016 to 2024, sourced from the National Bureau of Statistics (NBS) and UNESCO reports. Three econometric models were specified to test the effect of each technology innovation variable on Nigeria's Gross Domestic Product (GDP) growth rate. Findings reveal that ICT innovation accounts for approximately 58% of the variability in GDP growth, while banking technology innovation and education technology innovation explain 7.47% and 4.88%, respectively. Hypothesis testing confirmed that all three forms of technological innovation  ICT, banking, and education have statistically significant effects on economic growth in Nigeria. The study concludes that technology innovation positively and significantly drives economic development in Nigeria, and recommends increased government budgetary allocation toward ICT, education, and the banking sector, as well as broader replication of this research across other economic sectors to deepen understanding of technology's role in Nigeria's development trajectory.