SOCIAL CAPITAL: A TOOL FOR EFFECTIVE SUSTAINABLE ECONOMIC DEVELOPMENT IN NIGERIA

ABSTRACT A study of sustainable development needs to consider the role of all forms of capital—natural, social, financial and cultural as well as the complex ways in which they interact. All forms of capital derive their value, utility and application from human mental awareness, creativity and social innovation. This makes social capital, the central determinant of resource productivity and sustainability. Modern social capital conceptualisation is a new way to look at this debate, keeping together the importance of community to build generalised trust and the same time, the importance of individual free choice, in order to create a more cohesive society. It is for this reason that social capital generated so much interest in the academic and political worlds. Understanding the makeup of a community‘s human social capital is fundamental to understanding our capacities to not only absorb change, but potentially to also grow and prosper as a result of it. The elements that comprise social capital intimately interact to provide a ‗package‘ of capacity that dictates a community‘s ability to adapt to changing circumstances. As a result, social capital is dealt with in the process of assessing the social component of sustainability. It has been argued that individually, communities, corporate entities or government bodies alone do not possess the resources needed to promote broad-based sustainable development. Complementarities and partnerships forged within and across these groups of differing power are also necessary to achieve long-term sustainable development. Based on these assertions, therefore, this study examines the interaction between social capital and sustainable economic development in Nigeria. Keywords: Social Capital, Economic Development, Component of Sustainability, Financial Capital, Human Capita