ACHIEVING SUSTAINABLE NATIONAL ECONOMIC DEVELOPMENT USING GOVERNMENT MONETARY POLICY
The study investigated how the Nigerian government could achieve a sustainable economic growth using the tool
of monetary policy. The study examined how monetary policy rate, money supply, and exchange rate could
influence sustainable economic growth in Nigeria measured by GDP per capita. Secondary data from 1990 till
2022 and sourced from the CBN statistical bulletin was used for the study and was estimated using the Vector
Error Correction Model. Findings revealed that all the independent variables had a short run speed of adjustment
to move into the next period and impact the dependent variable positively and significantly. The study
recommended that the central bank should adopt monetary easing strategies that would make the monetary policy
rate (MPR) become a single digit rate. Double digit MPR constrains bank lending which also constrains economic
growth.
ACHIEVING SUSTAINABLE NATIONAL ECONOMIC DEVELOPMENT USING GOVERNMENT MONETARY POLICY Read More »