Author : Igwenagu, C. M. and Anabike C.I
This study examined the impact of the COVID-19 pandemic on Nigeria's economy by focusing on the performance of the inflation rate and economic growth within 2010-2020. The objectives of the study include: to ascertain the causality between the rate of inflation and economic growth in Nigeria for the pre and present pandemic period, and to ascertain whether there is a structural break on the economic growth in Nigeria for the pre and present pandemic period. The data used for this study was secondary data collected from the Central Bank of Nigeria (CBN) Statistical Bulletin for various years. The Real Gross Domestic Product (RGDP) was assumed to be a proxy for economic growth, while the Headline Inflation Rate (HIR) was a proxy for the inflation rate. The Chow test analysis and the Granger Causality test were used to analyze the data for the study. The findings of the study showed that an independent causal relationship exists between the rate of inflation and economic growth in Nigeria for the pre-pandemic and during the pandemic period. Also, it was revealed that there is no structural break in the rate of inflation in Nigeria for the pre-pandemic and during the pandemic period. However, it was found that there is a structural break in economic growth in Nigeria for the pre-pandemic and during the pandemic period.
Download Full Page
<<< Go Back