Abstract

Author:
Nathan Udoinyang

Doi: 10.26480/jtwe.02.2024.98.104

This is an open access article distributed under the Creative Commons Attribution License CC BY 4.0, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

The study examined the effect of currency devaluation and inflation on Nigeria’s economic growth. The research design adopted was ex post facto and included data obtained from government agencies (1998 – 2023). Various economic statistics and regression analyses were conducted using E-views version 9.0. The results showed that the null hypothesis could not be rejected because the p-value was greater than the significance level of 0.05 (F-statistic = 2.879; p-value = 0.0788; Adjusted R2 = 0.1304). The result also revealed a negative and significant effect of inflation on Nigeria’s economic growth (coefficient = -0.1342; p-values = 0.0256); exchange rate fluctuation had a negative and insignificant effect on Nigeria’s economic growth (-1.38774, p-value = 0.4682). The government has been advised to review its fiscal and monetary policies to curb the effects of inflation and currency devaluation on citizens.