Finalyear

CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
It is obvious that the economy of Nigeria has shifted from the state of moderate economy to the level of economic recession due to the totality of many factors. Economic recession has become a household name in Nigeria since June 2016 when the central bank of Nigeria (CBN) admitted that the country is experiencing economic recession. Since then it has become a major concern of all the Nigeria (Noko, 2016).
Economic recessions generally occurs when there is a widespread drop in spending (an adverse demand shock). This may be triggered by various events, such as financial crises, an internal trade shock, an adverse supply shock or the bursting of an economic bubble. As a matter of fact, the economy of Nigeria is presently not stable.
One of the cause of economic recession in Nigeria today is a result of fight against corruption which is known to be the watchword of president Buhari’s administration. According to the federation of construction companies have particularly laid off their staff (FOIC) the ongoing recession had cause redundancy in Nigeria ‘s construction industry while many construction companies have particularly laid off their staff (Ugwu, 2016).
(Bhagatkar, et al 2015 states that the activity in a country for two successive quarters in the year 2008 to 2009, the annual growth rate of Nigeria has dropped from over 9% to 6.7% as a result of economic recession. In the year 2016, Nigeria’s real GDP growth rate in the first quarter was (0.36%) while the second quarter was (-2.667%) (CBN 2016).
When the relationships are said to be inbalanced recession can grow up within the country or cause pressure for recession in another country (Noko 2016) argued that Nigeria current recession is caused by poor economic policy, fall in oil output as a a result of activities embarked upon by the Niger-Delta militants or the avengers inflation due to the embargo on some basic foods like rice in the country goes a long way in making recession to occur in Nigeria ( Nwuru 2016) noted that during the period of economic recession, economic hardship knows no limits and boundaries, it affect livelihood of everybody in one way or the other and this naturally gives impetus to tackle the new economic situation.
Michael Eboh (2017) argued that after many glorious years of enjoying the benefits of the robust and high crude oil price, the Nigeria economy is currently leetering on the edge of depression, mainly due to faulty planning and the short-sightedness of the country’s leadership. Nigeria’s current economy woes were primarily kick-started by the petroleum sector which was and is still the major source of foreign exchange earnings for the country, driver of economy. Dode ( 2012) stated that the economic crises was triggered by a sharp decline in the price of crude oil in the international market, as well as by the crises in the Niger-Delta, which brought about a sharp drop in Nigeria’s crude oil and Gas output. These twin problem of oil price and how output forced down the country foreign exchange earnings reduced the country’s revenue and brought about a general hike in the price of goods and services starting with the hike in the price of petrol.

1.2 Statement of the Problem
Many organization and firms are finding ways to survive the impact of economic recession on the delivery of many public projects. The construction industry in Nigeria could be said to be the major sector to be hard hit because it is a major employer of labour( Chinedum 2016). Nigeria workers in general have been in pitiable situation because a goal number of workers were relived of their jobs, while those that were retained experienced salary or retrenchment ( Adebayo 2016).
Construction projects are some of the major economy sustenance in the whole world has an abundance of it ( Alake 2016) productivity at the early stage of a recession tends in profitable among firm rise again as weaker firms closed the change in profitable among firm rises sharply the abandonment of the public projects across the country is known to have negative the health and well stability of any construction industry including the health and the well being of it’s personnel which make it together to survive public delivery during the period of economic recession.
The major visible problem identifiable in this study is that there are lots of abandoned project across the country due to the fact the constructors and others associated with the construction works do not take care of economic recession in construction and Many even do not know how to further complete the project within the time allocated.
Many construction industries were closed as a result of economic recession in Nigeria. Construction cost was very high due to high bank interest rate, high Naira exchange to us, Dollars and powering of production plant during power outage.
The unfriendly environment leads to collapse of organization and relocation to a more favourable climate thereby compound tell value of unemployment in Nigeria.
1.3 Aim and Objectives of the Study
The aim of the research is to evaluate the impact of economic recession on public project delivery in Enugu state while the specific objectives are to;
1. To identify the major causes of the economic recession in Nigeria