AN EXAMINATION OF THE PROBLEM AND PROSPECT OF FINANCING STATE GOVERNMENT PROJECTS THROUGH THE CAPITAL MARKET PRESENTED
TABLE OF CONTENT
TITLE PAGE II
APPROVAL PAGE III
TABLE OF CONTENTS VII
1.1 BACKGROUND OF THE STUDY 1
1.2 STATEMENT OF THE PROBLEM 2
1.3 PURPOSE/OBJECTIVE OF THE STUDY 2
1.4 SIGNIFICANCE OF THE STUDY 3
1.5 LIMITATIONS OF THE STUDY 3
REVIEW OF RELATED LITERATURE
2.2 WHAT IS CAPITAL MARKET 6
2.3 HOW DOES CAPITAL MARKET HELP IN FINANCING GOVERNMENT PROJECT 7
2.4 FUNCTION OF CAPITAL MARKET FINDING OF GOVERNMENT PROJECTS. 10
2.5 PROBLEMS ENCOUNTERED IN FINANCING GOVERNMENT PROJECTS THROUGH THE CAPITAL MARKET.12
RESEARCH DESIGN AND METHODOLOGY 18
3.1 SOURCES OF DATA (SECONDARY SOURCE)18
3.2 LOCATION OF DATA 18
1.1 BACKGROUND OF THE STUDY
The function of the state government in recent times include the provision of amenities infrastructures which are capital intensive in nature over the years most state government especially in the developing countries have been carrying out such functions with finds from external sources as loans, grants and development assistance or aids. These sources have often been complemented with domestic resources as statutory allocations from the federation accounts, internally, generated finds and domestic.
However, events in the last few years have indicate the inadequacies of these sources. Nigerians experience in financing capital projects has been similar to those of other developing countries with large revenue from oil. Thus, with the downturn in the economy, following severe external stocks in the international oil market the necessity to work for viable alternative ways of financing capital projects becomes imperative; there has therefore been a general shift of focus to the capital market in financing government capital project this term attempts an examination if the problems and prospects of financing market.
1.2 STATEMENT OF FPROBLEMS.
Effi9cient implementing of capital market strategies by the state government in financing capital projects will help a lot in completing numerous abandon projects and stabilize the nation’s economy. Over the years, state government in the country experience abandoned projects in their state government tom pay debts own to its creditors, etc for all these reasons the researcher now want to find out the exact factors militating against completion of these capital projects.
1.3 OBJECTIVES OF THE STUDY
I to identify the problem facing state government either in the executive level.
II to know whether the finds set aside nor executive a particular projects will be sufficient or not.
III to find out possible solution of solving these problems.
IV To know whether these problems are caused as a result of poor management of finds in the executive level.
V finally recommendations, solution which can prevent occurrence of such problem.
1.4 SIGNIFICANE OF THE STUDY
The theoretical frame work of financing state government project through the capital market were related and equated with the practice in Nigeria by state government which is an empirical model.
1.4 LIMITATION OF THE STUDY
The study was not only restricted to only a state and reliance as high on oral interview with the government personnel high which most of the internal substantiating documents especially information on control performance were treated as highly confidential.
DEFINITION OF TERM
CAPITAL MARKET: capital market can be said to be a market for the institutionalization by long term project financing assist the state government in carrying out their project.