Probit analysis of factors influencing rural employment promotion in Southern Nigeria Oluwatoyin Dare Kolawole Okavango Research Institute, University of Botswana Abstract Poverty, inequality and unemployment challenges need to be adequately addressed if sustainable human development is to be achieved. Although, these key issues are not mutually exclusive, the thrust of this paper is to identify some factors influencing rural employment promotion (REP) in southern Nigeria. A multi-stage sampling procedure was used to select 60 rural communities in southern Nigeria. In all, 300 interviewees were sampled and interviewed using structured and unstructured interview schedules. Descriptive statistical techniques such as frequency, percentages, mean and standard deviation, etc. were used to describe and summarise the data collected. Probit analysis was employed to make deductions through the use of STATA package. The result showed a Pseudo R 2 value of 0.3581, which is quite reasonable for qualitative dependent variable models. At P ≤ 0.01 level of significance, education (z = 2.02), farm size (z = 2.39) positively influenced the drive towards rural employment generation. Also, at P ≤ 0.01 level, the availability of banking institutions (z = 1.94) and support fro m the family members (z = 2.17) did strongly predict REP. Other predictors of REP were the disaggregated units of project type/orientation, which are production (z = 1.67) and service-oriented ventures (z = 1.98) and they both had strong and positive influence on REP at P≤ 0.05 and 0.01 levels of significance, respectively. The paper concludes that the provision of basic and functional services such as education, health care, water, electricity and motorable roads are vital for rural employment promotion drive in rural communities. Key Words: Rural employment, poverty, socio-economic, infrastructure, Probit, Nigeria Introduction Without doubt, a positive association exists between people‟s economic well-being and gainful employment. Well over 75.0 per cent of world‟s poor are resident in rural areas and the prevalence of poverty in developing economies is more apparent in rural areas than in the cities (ILO 2008). Alleviating [rural] poverty would, therefore, mean placing premium attention on investment opportunities that would induce entrepreneurship development for job creation and sustainable livelihood (ILO 2008; Chen et al. 2004; ILO, 2003). This suggests that appropriate policy instruments are needed to enhance better implementation of rural employment programmes. Indeed, national governments are beginning to shift attention to the crucial role of employment in the development process (Chen et al. 2004). Highlighting the main goals of employment, Heneman and Yoder (1965) affirm that „[o]ur expectations for work are inseparable from the whole complex of our social, political and economic objectives‟. Expectedly, employment provides economic support for people and their families; satisfy many of people‟s personal needs for expression and recognition; and complement and facilitate political democracy, participation in self-government, and attainment of other political, social and ethical ideals. It is also expected that many of people‟s highly regarded personal and social goals would be realised through employment. Indeed, the employment process is seen as „central and essential‟ to and for labour economics and labour problems. Primarily, the thrust of labour economics is the efficient galvanization of both human and material resources with a view to providing products and services. Thus, employment is conceived as the means by which human resources are applied and made useful and