It is a fact that the difference in socio-economic development across
independent states is due not so much to natural resources endowment and the stock of
physical capital but to the quality and quantity of human resources. This paper therefore
highlights the importance of human capital formation in the development process with
particular reference to Nigeria. The paper noted that the human capital question is
especially pertinent now that the country is aspiring to be among the top 20 economies
of the world by the year 2020. This is because Nigeria (and by extension Nigerians) need
to become competitive in the 21st century globalize economy which is skill and
knowledge based.