Bamaiyi, Garba (2024) Impact of Oil Price Shocks and Economic Growth in Nigeria: Evidenec from 1990-2021. International Journal of Developing and Emerging Economies, 12 (1). pp. 1-18. ISSN 2055-608X (Print), 2055-6098(Online)
![[thumbnail of Impact of Oil Price Shocks.pdf]](https://tudr.org/style/images/fileicons/text.png)
Text
Impact of Oil Price Shocks.pdf - Published Version
Available under License Creative Commons Attribution Non-commercial No Derivatives.
Download (1MB)
Abstract
This research explores the impact of oil price shocks on the Nigerian economy from 1990 to 2021, focusing on Real Gross Domestic Product (RGDP), Exchange Rate (EXR), and Balance of Payments (BOP). Utilising a Vector Autoregressive (VAR) model, the study reveals a positive impact of oil price shocks on RGDP, indication economic expansion during global crude oil price and contraction during decline, such as observed in the 2015 recession. Variance decomposition analysis demonstrate the variability contributions of oil price, exchange rate, and BOP to RGDP, emphasizing the significant role of the oil sector in Nigeria’s economic dynamics Additionally, Granger Causality/Block Exogeneity Tests reveals the directional causality between oil price and the key variables, emphasizing their substantial role in shaping economic and trade dynamics. accelerated economic diversification, investment in other sectors beyond oil, fostering export-led growth, building foreign exchange reserves to reduce the economic vulnerability to fluctuation in global oil prices.
| Item Type: | Article |
|---|---|
| Subjects: | H Social Sciences > H Social Sciences (General) |
| Depositing User: | Professor Mark T. Owen |
| Date Deposited: | 04 Feb 2024 09:53 |
| Last Modified: | 04 Feb 2024 09:53 |
| URI: | https://tudr.org/id/eprint/2648 |
Actions (login required)
- View Item
CORE (COnnecting REpositories)
CORE (COnnecting REpositories)