IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF SOCIAL SCIENCES AND MANAGEMENT RESEARCH (IJSSMR )

E-ISSN 2545-5303
P-ISSN 2695-2203
VOL. 9 NO. 4 2023
DOI: https://doi.org/10.56201/ijssmr.v9.no4.2023.pg73.83

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Money Market and Economic Growth in Nigeria: An Autoregressive Distributed Lag Approach

Monday A. Gbanador, PhD. Emmanuel U. Makwe, PhD. Mark C. Okonma

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Abstract

This study investigated the impact of money market on the economic growth in Nigeria, 1991- 2020. The ex-post facto research design was adopted for the study. The Gross domestic product (GDP) was used as proxy for economic growth while Treasury bills, Commercial papers (CP) and Bankers’ acceptances (BA) were used as proxy for the money market variables. Tests such as descriptive analysis, unit root, bounds test for cointegration, ARDL, serial correlation, heteroskedasticity and granger causality tests were conducted. The results revealed that there is a significant but positive impact of TB, CP, BA on the GDP. The study recommended that that the Monetary authority should initiate policies that would encourage Money market operations while CBN surveillance role should be proactive in order to check practices that could undermine or sabotage market integrity and soundness

keywords:

Economic growth; Money market; Treasury bills; Bankers’ Acceptances; Commercial papers.

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References:

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