Investigating monetary policy dynamics in Nigeria: The role of private investment

Ilhan Bora, Dervis Kirikkaleli, Joshua Dzankar Zoaka, Festus Victor Bekun, Daberechi Chikezie Ekwueme

Research output: Contribution to journalArticlepeer-review

2 Citations (Scopus)


This paper explored the dynamics of monetary policy and its effect on private investment, using annual frequency data from 1981 to 2017. The paper employed autoregressive distributive lags methodology to estimate the link between private investment and some selected monetary indicators. Empirical finding shows that broad money supply increases private investment in the long run for the study area. Interestingly, our study shows inverse relationship between exchange rate and private investment. These findings are insightful for policymakers for strategic policy mix construction. Consequently, the study recommends, among other things, proper coordination of monetary and fiscal policies, good macroeconomic policies, proper channeling of financial resources to the private sector and proper measures for controlling inflation.

Original languageEnglish
Pages (from-to)247-254
Number of pages8
JournalManagement Science Letters
Issue number1
Early online date26 Jul 2019
Publication statusPublished - 1 Jan 2020
Externally publishedYes

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