Nigerian Journal Sustainability Research

Publications

Vol. 4 No. 1 (2026): Building Resilience: Perspectives on Sustainability

Female Labour Force Participation and Economic Growth in Nigeria

Submitted
January 18, 2026
Published
2026-01-23

Abstract

This study examines the relationship between female labour force participation (FLFP) and economic growth in Nigeria from 1986 to 2024, focusing on how socio-cultural and institutional barriers may limit women’s economic potential. Grounded in human capital and feminist economics frameworks, the study employs an Autoregressive Distributed Lag (ARDL) model to estimate both short- and long-run dynamics and applies Granger causality tests to assess the direction of influence. Results reveal a dual relationship: in the long run, FLFP positively and significantly drives economic growth, confirming the growth-enhancing role of women’s participation. In the short run, however, FLFP exerts a negative effect, reflecting that new female entrants are often confined to low-productivity, informal activities. A unidirectional causality from FLFP to gross capital formation further indicates an indirect growth channel through investment. The study concludes that while female labour participation significantly enhances economic growth in the long run, short-run effects remain constrained by structural and institutional barriers that confine many women to low-productivity activities. Policy efforts should therefore focus on improving the quality and productivity of women’s employment through investment in education, skills development, access to finance, and gender-responsive labour policies. Addressing these constraints will enable Nigeria to harness the untapped potential of its female workforce, promote inclusive growth, and advance sustainable economic transformation.

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