•  
  •  
 

Economic and Financial Review

Publisher

Research Department, Central Bank of Nigeria.

Keywords

Monetary Policy, Agriculture

Abstract

The study examinee the effect of monetary policy on agricultural sector in Nigeria, utilizing time series data for the periods spanning from 1970 to 2010. The study captures both monetary and non-monetary policy variables such as lending rate, commercial banks credit to agriculture, exchange rate, government expenditure in agriculture and inflation rate in examining the effect of monetary policy on agricultural output. The methodology adopted is the Auto- Regressive Distributed Lag (ARDL) Bound Testing Approach. The results obtained shows that exchange rate and government expenditure had positive and significant effect on agricultural output and, hence agricultural sector in Nigeria. It is recommended that a sound exchange rate policy should be implemented aimed at boosting agricultural exports in Nigeria. Also, government investment to provide the basic infrastructure and institutions should be sustained because without the appropriate institutions, monetary policy cannot impact positively on real sector.

Issue

52

Volume

2

Recommended Citation

Udeaja, Elias A., & Elijah, Udoh A. (2014). Effect of Monetary Policy on Agricultural Sector in Nigeria. Economic and Financial Review, 52(2), 33–74.

Share

COinS
 
 

To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.