Effects of Money Laundering on the Economy of Nigeria

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Effects of Money Laundering on the Economy of Nigeria

Abstract

The effects of economic crime can be more damaging than what analysts often describe especially in a developing country like Nigeria. For a long time, money laundering has become another terror threatening the growth of the economy such that it drags the wheel of governance and economic development. Beyond this general assessment, money laundering is a factor being considered in the National Budget, fight against terrorism and foreign relations between Nigeria and other nations. This paper considers holistic effects of money laundering on the economy of Nigeria. It adopts the doctrinal approach of methodology in researching available primary and mostly secondary sources of data in the analysis of various effects such as manufacturing of domestic products, socio- economic, financial effects, political effects, oil and gas sector. The paper further considers many challenges encountered by the past and present administration in combating money laundering. It however suggests that government should take proactive measures to tackle the menace by daring to prosecute close political associates involved as a lesson to other persons that no stone will be left unturned in the fight against the menace.

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