MONETARY POLICY AND INFLATION CONTROL: THE CASE OF NIGERIA

Autori

  • Clement I. Ezeanyeji Department of Economics, Faculty of Social Sciences, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria
  • Cyril Ogugua Obi Department of Economics, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria
  • Chika Priscilla Imoagwu Department of Economics, Nnamdi Azikiwe University, Awka, Anambra State, Nigeria
  • Ugochukwu Frank Ejefobihi Department of Economics, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria

DOI:

https://doi.org/10.46827/ejmms.v6i2.1017

Cuvinte cheie:

exchange rate, inflation rate, money supply, treasury bill rate, monetary policy rate

Rezumat

Inflation is a major problem facing Nigeria as a country today. The Central Bank of Nigeria (CBN), however, has made efforts to fight it using different policy measures, of which monetary policy is one of them. Thus, this study focuses on the impact of monetary policy on inflation control in Nigeria. The study is based on time series data from 1980 to 2019. The Augmented Dickey Fuller test, Johansen’s co-integration test, the Error Correction model (ECM) estimation was employed in the analysis. The variables include – exchange rate, inflation rate, money supply (% GDP), Treasury bill rate and monetary policy rate. The research findings showed that monetary policy has no significant impact on inflation control in Nigeria both in the short – run and long – run. Money supply has negative and insignificant impact on inflation control in Nigeria both in the short – run and long – run. Again, exchange rate has negative and insignificant effect on inflation control in Nigeria both in the short – run and long – run. The Treasury bill rate has negative but significant effect on inflation control in Nigeria in the short – run, while in the long – run it has positive but insignificant effect on inflation control in Nigeria. The study, therefore, recommends that, Government should provide monetary policies that will preferred efficient provider of favourable environment in terms of the implementation of the appropriate monetary policy rate, exchange rate etc in order to attract both domestic and foreign investment which will create employment opportunities for the Nigerian populace and in turn lead to the expansion of the industries in the country. JEL: E42; E52; E31

Biografii autori

  • Clement I. Ezeanyeji, Department of Economics, Faculty of Social Sciences, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria
    Professor Ezeanyeji Clement Sunday Ifebuolili is a lecturer in the Department of Economics, Faculty of Social Sciences, Anambra State University. He hails from Isi-Achina in Aguata Local Government Area of Anambra State. He obtained his BA Economics from Karnatak University Dharwad, Karnataka State. MA Economics from the prestigious Sri Venketeswara University, Tirupathi in Andhra Pradesh State, and his Doctorate (PhD) degree from Shivaji University, Kolhapur Maharashtra State, all in India. He also obtained his Post Graduate Diploma in Business Administration, from Annamalai University, Annamalai Nagar, Tamil Nadu State, and a Post Graduate Diploma in Personnel Management and Industrial Relations from Indian Institute of Management and Industrial Relations, Nehru Nagar, Agra, Uttar Pradesh State, all in India as well. His teaching and research experiences are in the field of Monetary Economics, Public Finance, Industrial Economics, Taxation and Fiscal Policy, and Labour Economics as well as Economics of Production. He has drawn from his publication and teaching experiences to write many book and articles.
  • Cyril Ogugua Obi, Department of Economics, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria
    Cyril Ogugua Obi is an Associate Professor in the Department of Economics, Faculty of Social Sciences, Chukwuemeka Oduemegwu Ojukwu University (COOU) (formally Anambra State University), Anambra State, Nigeria. He hails from Agulu in Anambra State, Nigeria. He obtained his B.Sc, M.Sc, MBA and PhD with specialization in Monetary Economics. He has co-authored some text books in Economics and member of numerous Faculty and University levels. He belongs to different professional bodies such as FINEN (Fellow Institute of Economist Nigeria), FIIA (Fellow Institute of Industrial Administration) and NMIM (Member Nigeria Institute of Management).
  • Chika Priscilla Imoagwu, Department of Economics, Nnamdi Azikiwe University, Awka, Anambra State, Nigeria
    Imoagwu, Chika Priscilla is lecturer II in Department of Economics, Faculty of Social Sciences, Nnamdi Azikiwe University, Awka, Anambra State, Nigeria. She hails from Afikpo South, Ebonyi State, Nigeria. She obtained her B.Sc Economics Education in University of Nigeria, Nsukka in 2007, PGD Economics in Nnamdi Azikiwe University, Awka in 2012, M.Sc Economics in Chukwuemeka Oduemegwu Ojukwu University (COOU) (formally Anambra State University), Anambra State in 2017 and PhD in Nnamdi Azikiwe University, Awka in 2019 – Date.
  • Ugochukwu Frank Ejefobihi, Department of Economics, Chukwuemeka Odumegwu Ojukwu University (COOU), Anambra State, Nigeria
    Ejefobihi Ugochukwu Frank is a Bachelor of Science in Economics holder from Chukwuemeka Oduemegwu Ojukwu University (COOU) (formally Anambra State University), Anambra State, Nigeria in 2011. For more academic growth sought higher education and graduated with 2:1 honors in MSc Economics from Imo State University in 2015.

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Publicat

2021-03-13

Număr

Volum 6 Nr. 2 (2021)

Secțiune

Articles