• Oluwatoyin Funmilayo Omolade
  • Adeleke Omolade
  • Adedoyin Adebusuyi
Keywords: Industrial Sector Growth, Indirect Tax, Value Added Tax


This study examines the effect of indirect tax on industrial sector growth in Nigeria. Value added tax,
customs and excise duty are proxies fr indirect tax in the study while trade openness, inflation and human
capital are other control variables included in the model. The data utilized were sourced from the Central
Bank of Nigeria Statistical Bulletin an it covers 1980 to 2022. The data were analyzed using both
descriptive and econometrics analysis. The result of the study shows that indirect tax failed to have
significant positive and long run impacts on the industrial sector growth in Nigeria. Notwithstanding
labour as human capital was shown in the result as the most important factor that drives the industrial
sector of Nigeria. The study recommends that efforts should be made to utilize tax proceeds in Nigeria
to create more enabling environment for the industrial sector to thrive and improve the growth of the


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