Intergenerational Transfers and Social Protection in Nigeria

This paper presents estimates of the system of intergenerational transfers in Nigeria in 2004 and 2009. This necessitated identifying the surplus age range in the economic lifecycle and whether there were changes over the two periods. Based on the lifecycle deficit (LCD), options for intergenerational transfer to finance the deficit were examined within the context of social protection in Nigeria. The methodological framework utilised in this paper was motivated by the National Transfer Accounts methodology. The process of estimating the age profile of consumption and income formed the basis for the economic lifecycle deficit(LCD) equation in the model. Our estimates used the 2004 and 2009 National Income and Product Account data of Nigeria. Data were obtained from 2004 National Living Standard Survey and the 2009 Harmonised Living Standard in Nigeria. The paper revealed the structure of intergenerational transfers in 2004 and 2009 band how these were used in financing lifecycle deficit. In general, LCDs are financed through age reallocations. The implications of government and familial transfers in financing deficits of the children and the elderly were examined within the context of social protection policies and programs in Nigeria.