Assessing the Economic Growth Impact of Digital Innovation and Skill Acquisition: A Quantitative Analysis of the Nigeria Immigration Service

Abstract

As e-governance becomes more imperative, governmental institutions in developing countries have come under increasing pressure to apply digital technologies to facilitate governmental services. One such organisation is the Nigeria Immigration Service (NIS), mandated to grow the country’s economy through trade facilitation and accurate collection of data on imports and exports for economic analysis and strategic planning. Consequently, we examined the role of digitalisation of the NIS in the growth of Nigeria’s economy and, whether digital skill acquisition by NIS staff plays a part in that process. The study was based on a cross-sectional survey of 375 immigration staff across the six geopolitical regions of Nigeria. Aided by Covariance-Based Structural Equation Modelling (CB-SEM) of data via AMOS, we found that digitalisation of the NIS directly supports economic growth (operationalised as trade and investment facilitation). Digitalisation of the NIS also leads to more training and skill-acquisition for staff. In turn, this increase in skills makes a stronger impact on trade and investment facilitation (i.e. economic growth). What the data trends suggest is that staff skill acquisition helped explain how and why digital tools lead to economic growth. The study implies that digitalisation isn’t enough. To make impactful contributions to the economic, Nigerian institutions also needs to invest in her people, supporting them with the right skills to use these innovative tools effectively. This study highlights the importance of combining technology with human development to make public services convenient and smarter and, the economy, even stronger.