Purpose: This study examines the impact of foreign direct investment (FDI) on the gross domestic product (GDP) growth rate in Nigeria from 1990 to 2021.

Research methodology: This study employed time-series data from the World Bank’s World Development Indicator Database to ensure data homogeneity. The data were assessed for stationarity using the ADF unit root test. All the data were stationary after the first difference. The hypothesis was tested using ordinary least squares (OLS) with BLUE properties.

Results: The study finds a significant positive effect of foreign direct investment net inflow on GDPGR (p<.05). The control variables DEGO (p=0.3299) and INFL (p=0.3321) showed positive coefficients but were non-significant.

Limitations: The study used only data from the Nigerian context, from 1990 to 2021, which affects the generalizability of the study findings to other countries in SSA, and a limited number of control variables, such as DEGO and INFL.

Contribution: This study contributes to the literature on FDI’s impact of FDI on the economic growth of African nations. The research findings have critical policy implications for governments aiming to achieve sustainable economic growth.

Practical Implications: This study has policy implications for developmental governance in Nigeria and SSA countries.

Novelty: This study deviates from prior studies that agree that illicit financial flows in the form of FDI outflows negatively affect growth and focus on FDI net inflows’ beneficial impacts on the Nigerian economy.