IIARD International Institute of Academic Research and Development

IIARD International Journal of Economics and Business Management (IJEBM )

E-ISSN 2489-0065
P-ISSN 2695-186X
Vol. 1 No.8, 2015

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Monetary Policy Innovations and Growth Rate of Output in Nigeria

Prof. Chinwuba Okafor Akhor Sadiq Oshoke, Akwaden Stephen Thomas

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Abstract

The study examined the impact of monetary policy innovations on growth rate of output in Nigeria. This study utilized times series data within the period of 1985 to 2012 which was sourced from the statistical bulletin of Central Bank of Nigeria, Nigerian Investment Promotion Commission (NIPC) and Securities and Exchange Commission (SEC). The study employed Vector Autoregressive (VAR) estimation technique in the analysis of data. The result showed that money supply exerts significant influence on growth of output in Nigeria while exchange rate and interest rate were insignificant. The study recommended that exchange rate and interest rate should be regulated. It also suggested the need for monetary authorities to implement policy that effectively enhanced money supply. Keywords: Monetary policy, Money Supply, Exchange rate, Interest rate, Growth rate of output

keywords:

Monetary policy, Money Supply, Exchange rate, Interest rate, Growth rate of output

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