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THE DETERMINANT OF SAVINGS IN NIGERIA (1985-2011)

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ABSTRACT

The term savings refers to the part of income immediately spent or consumed but reserved for future consumption, investment or unforeseen contingencies. This study examines the determinants of savings in Nigeria between 19852011, which will enable us to proffer solution for the improvement of savings in the economy, since it is an important component of the economic development of any country. The method of analysis used in testing the hypothesis are coefficient of multiple determination R2, T test,Fstatistics. Data for the study was obtained from the central bank of Nigeria statistical bulletin, the major findings was that per capita disposable incomepdy has a positive and significant impact on aggregate savings in Nigeria. Based on the findings, some recommendations of policy and suggestions have been made.

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