Logit and tobit estimates of the effects of ICTs on international remittances to the Nigerian farmer

This paper analyzed the relationship between ICTs and international remittances received by farmers in Nigeria using two approaches. With the aid of the logit model, it determined the probability that a Nigerian farmer with access to ICTs received remittance from abroad. Secondly, the tobit model was employed to analyze the effects of access to ICTs on the monetary values of international remittances received. Preceding these analyses were descriptive statistics of the farmers access to ICTs and volumes of international remittances received. Empirical data for the analyses were drawn from the Nigerian General Household Surveys conducted in 2010/2011. This survey was particularly relevant because it elicited information from Nigerian farming households including data regarding their access to ICTs and remittances. Among several findings, the analyses showed that 73.06% and 3.92% of the Nigerian Farming population had access to mobile phones and the internet respectively. Also, a Nigerian farmer who owned a mobile phone is approximately 1.5 times more likely to receive remittances from abroad than a farmer who had access to mobile phones but did not own one. It was recommended that public investments in remittance and ICTs linked rural infrastructures are apropos. Telecommunication companies and financial institutions need to create a platform to enable easy access to ICTs which in turn enables access to remittances in the rural areas.