Types Of Economic Institutions In Nigeria And Roles

Institutions that deal with the management of money and distribution of goods and services are known as economic institutions. Economic institutions are very important in the aspect of a country’s economy, you should know that these institutions help in the distribution and also help individuals in securing their funds.

Every country needs these institutions for their everyday survival because they help in catering for the need of every individual, you should know that these institutions are built around the survival need of the society, each country has their own type of economic institution and they are all known to play important or major roles in the country.

Nigeria, as one of the most populated countries in Africa, has millions of people living and they need to have a stable economic institution to make sure that things go down well for them.  Each of these institutions covers different sectors and they are known to help the country economy grow, banks are regarded to be very important and they are known to help the nation’s financial level.

There are lots of agencies in Nigeria relating to the Economic institutions. Each of these agencies sees that there is massive growth in the economy. For a nation to progress, the economy has to be good and there has to be growth, there should be no recession or anything that will hinder the growth of the economy. These institutions come in various types we have the economic institution and the list of the agencies in Nigeria.

Types Of Economic Institutions in Nigeria And Agencies

  • National Insurance Commission
  • Federal Inland Revenue Service
  • Budget Office of the Federation
  • Social Security Administration of Nigeria
  • Asset Management Corporation Nigeria
  • Central Bank Of Nigeria
  • National Planning Commission
  • Standard Organization of Nigeria
  • Securities and Exchange Commission
  • Nigeria Export Processing Zones Authority
  • Nigeria Deposit Insurance Commission
  • Federal Mortgage Bank Of Nigeria
  • National Council of Privatization
  • Nigeria Custom Service
  • National Sugar Development Council
  • Federal Inland Revenue Service
  • Small and Medium Enterprise Development Agency of Nigeria
  • Corporate Affairs Commission
  • Nigeria Export Processing Zones Authority
  • Fiscal Responsibility Commission
  • Budget Office of the Federation
  • Niger Delta Development Commission (NDDC)
  • Nigeria Export-Import Bank
  • National Pension Commission
  • Small and Medium Enterprise Development Agency of Nigeria
  • Social Security Administration of Nigeria
  • Standards Organization of Nigeria
  • Infrastructure Concession Regulatory Commission
  • Nigeria Deposit Insurance Corporation
  • Agriculture Institution

This institution provides goods and services for consumption and also for sales to help boost the Nigerian economy.  Agriculture is also another means which will help boost the Nigerian economy, as no country can live without food. Everyone needs food to survive and also food can be used as a way of making good money in terms of exporting them to other countries where they do not have that particular kind of food. There are some agencies that take care of this in Nigeria, they are listed below

  • Cocoa Research Institute of Nigeria
  • Agricultural Research Council of Nigeria
  • National Root Crops Research Institute
  • Nigerian Agricultural Insurance Corporation
  • National Horticultural Research Institute
  • Nigeria Institute for Oil Palm Research
  • National Veterinary Research Institute

Roles Of Economic Institutions in Nigeria

Through the process of allocation of funds banks have been able to provide funds to areas which they think will be more productive, another thing is that for an efficient financial market banks are said to help make it easier to put out products, goods, and services so that the public can but, they also render other services like trading in the stock exchange market and making a huge amount of money from it.

The significance to this country’s economy can be when there is an economic boom or when there is a recession, this will determine how a country has been able to use its funds or even the sales which they make. They will make funds available which will drive economic growth and when there is a recession they will control the flow of money out to the public. This is why during the recession period there is a scarcity of funds everywhere and this is being controlled by the financial institutions and the government.  Banks also lend money to individuals who are running a small business or even start-up companies, many times the microfinance banks help in playing out that role and they see that those who borrow the funds always pay back with the interest allocated.

These institutions have also played a major role in the aspect of helping out small families in getting a good mortgage plan for their houses. This arrangement has been able to bring about homeownership and even car ownership and this is done by providing car loans, many times they also provide hire purchase.

In due time payment will be made to the bank monthly or as it is stated in the agreement, before taking up any loan or plan, have the mind of paying back, banks are funded with money and they are out to help individuals. Many banks do not guarantee loans anymore to anybody because many individuals fail to pay back and a proper check is being done before any funds are being processed.

In conclusion, we have been able to give you the types of economic institutions in Nigeria, the list of agencies, and their roles. You should know that these institutions in Nigeria are made to help the nation grow its economy, from the financial institution down to the agricultural institution which is meant for the distribution of food products, goods, and services, export, and import. All of these are created to achieve one goal.

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Tag: List and Examples Of Economic Institutions in Nigeria.

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