The Nigeria Money Market and Oil & Gas Industry: Implications for National Economy

Uloghobui; Zakari Muhammed PhD; Usman; Abdulmalik; Uma; Idika Kalu; Onehi; Damian Haruna PhD

doi:10.56201/wjfir.v9.no9.2025.pg97.109

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The Nigeria Money Market and Oil & Gas Industry: Implications for National Economy

Uloghobui, Zakari Muhammed PhD, Usman, Abdulmalik, Uma, Idika Kalu, Onehi, Damian Haruna PhD

Abstract

This study examined the Nigeria money market and oil & gas sector with implications for the national economy. Despite the various Central Bank of Nigeria money market instruments to address financial intermediation challenges, the expected results seem not to have been fully achieved as the oil and gas sector of the economy appears not to be contributing optimally to the Nigeria economy given its potentials. The Nigerian economy is also not growing in line with expectations. The specific objectives of the study were to examine the effect of money market instruments of: treasury bills; banker’s acceptance; commercial paper and certificate of deposit on oil and gas sector of the economy with implications for Nigeria economy. The research design was ex-post-facto and was anchored on the financial intermediation theory. The descriptive statistics, unit root test, co-integration and ARDL test were used to analyze the data obtained from CBN statistical bulletin. The findings of the study showed that money market activities had significant positive effect on oil and gas sector with positive implications on the Nigeria economy. The findings also showed that about 65% of changes in oil and gas contribution to GDP can be attributed to the monetary policies implementation. The study concluded that monetary policies contribute positively to the Nigerian economy. Among others, the study recommends that central bank of Nigeria should continue to employ the right monetary policies towards ensuring a robust oil and gas sector with ultimate contribution to the growth of Nigeria economy.

Keywords

Treasury bills; Banker’s acceptance; Commercial paper; Certificate of deposit; Gross

References

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The Nigeria Money Market and Oil & Gas Industry: Implications for National Economy

Abstract

Keywords

References

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