Remittances, Exchange Rate, and Monetary Policy in Nigeria

Augustine C. Osigwe; Chekwube V. Madichie

Remittances, Exchange Rate, and Monetary Policy in Nigeria

Augustine C. Osigwe *

Contact

Chekwube V. Madichie

Contact

Remittances, Exchange Rate, and Monetary Policy in Nigeria

Article Fingerprint

ReserarchID

EJRV6

Remittances, Exchange Rate, and Monetary Policy in Nigeria Banner

Key Research Insights

Synthesized scholarly intelligence & interactive research assistant

This converted HTML version may contain rendering inconsistencies. Please refer to the PDF for the authoritative version, or click here to provide feedback.

Abstract

This study examined the relationship and causality that exist between remittance inflows and monetary aggregates, interest rate, exchange rate, and the domestic price level in Nigeria. The Johansen co-integration and the Granger causality techniques were employed. The Johansen co-integration test indicated that long run relationship among the variables. The Granger causality test results revealeda unidirectional causality running from money supply (LM2) to remittances (LREM) only at lag one and not in the reverse. In other lags, there was no evidence of causality between the duos. The results also showed that, consistently from lag one to lag five, causality run from exchange rate (LEXR) to LREM and not in reverse direction. Unidirectional causality run from interest rate (INT) to LREM, occurring from lag one to lag four. There was no evidence of causality in any direction between inflation rate (INF) and LREM within these lags. We also found that causality run from exchange rate (LEXR) to money supply (LM2) only at lags one and four and not in the reverse order.

References

11 Cites in Article

Reference Format

1. De Adenutsi,R. Ahortor (2008). Remittances, Exchange Rate, and Monetary Policy in Ghana. West African Journal of Monetary and Economic Integration, 8(2), 1-42.
2. Christopher Ball,Claude Lopez,Javier Reyes (2012). Remittances, Inflation and Exchange Rate Regimes in Small Open Economies, MPRA Paper No. 39852
CrossRef DOI
3. K. Barrett (2014). The effect of remittances on the real exchange rate: The case of Jamaica. Caribbean Centre for Money and Finance
4. A. Brook (2003). Recent and prospective trends in real long-term interest rates: Fiscal policy and other drivers.
CrossRef DOI
5. M. Fleming (1962). Domestic Financial Policies under Fixed and under Floating Exchange Rates. IMF Staff Papers, 9, 369.
6. D. Gujarati,D. Porter (2009). Basic Econometrics, 5th edition, New York: McGraw-Hill.
7. Federico Mandelman (2011). Monetary and Exchange Rate Policy under Remittance Fluctuations, Federal Reserve Bank of Atlanta, Working Paper.
CrossRef DOI
8. O. Mbutor (2010). Can monetary policy enhance remittances for economic growth in Africa? The case of Nigeria. Journal of Economics and International Finance, 2
9. R. Mundell (1963). Capital Mobility and Stabilization Policy Under Fixed and Flexible Exchange Rates. Canadian Journal of Economics and Political Science, 29, 475-485.
10. Sultonov M (2011). Impact of remittances on the real effective exchange rate of Tajikistan's national currency. Economics Bulletin, Volume 31, Issue 4
11. WDI (2013). World Bank database, World Development Indicator, Washington, DC. World Bank database, World Development Indicator

Download References

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Augustine C. Osigwe, Chekwube V. Madichie. 2015. "Remittances, Exchange Rate, and Monetary Policy in Nigeria". Global Journal of Management and Business Research - B: Economic & Commerce GJMBR-B Volume 15 (GJMBR Volume 15 Issue 35 (B6)).

More Citation Formats

Select Citation Style:

Download Citation

GJMBR Volume 15 Issue 35 (B6)

Explore Journals Explore Volume Read This Issue

Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords

Not Found

Classification

GJMBR-B Classification JEL Code: B22

C22

E4.

Submission ReceivedFebruary 4, 2015
Peer Review Double Blind
Handling Editor
Accepted March 3, 2015
Published August 10, 2015

Version of record

v1.2

Issue date

August 10, 2015

Language

English

Order Article Reprint

Experience in AR

Explore published articles in an immersive Augmented Reality environment. Our platform converts research papers into interactive 3D books, allowing readers to view and interact with content using AR and VR compatible devices.

View in VR

Read in 3D

Your published article is automatically converted into a realistic 3D book. Flip through pages and read research papers in a more engaging and interactive format.

View in 3D

Article Matrices

Total Score: 102

Country: Nigeria

Subject: Global Journal of Management and Business Research - B: Economic & Commerce

Authors: Augustine C. Osigwe, Chekwube V. Madichie (PhD/Dr. count: 0)

View Count (all-time): 386

Total Views (Real + Logic): 1515

Total Downloads (simulated): 138

Publish Date: 2015 08, Tue

Monthly Totals (Real + Logic):

Month 1: 41 views
Month 2: 60 views
Month 3: 66 views
Month 4: 51 views
Month 5: 47 views
Month 6: 47 views
Month 7: 32 views
Month 8: 45 views
Month 9: 48 views
Month 10: 41 views
Month 11: 37 views
Month 12: 25 views
Month 13: 45 views
Month 14: 24 views
Month 15: 32 views
Month 16: 34 views
Month 17: 26 views
Month 18: 35 views
Month 19: 34 views
Month 20: 25 views
Month 21: 33 views
Month 22: 19 views
Month 23: 23 views
Month 24: 13 views
Month 25: 35 views
Month 26: 36 views
Month 27: 15 views
Month 28: 25 views
Month 29: 32 views
Month 30: 33 views
Month 31: 12 views
Month 32: 29 views
Month 33: 23 views
Month 34: 48 views
Month 35: 34 views
Month 36: 19 views
Month 37: 41 views
Month 38: 35 views
Month 39: 32 views
Month 40: 34 views
Month 41: 17 views
Month 42: 33 views
Month 43: 38 views
Month 44: 20 views
Month 45: 38 views
Month 46: 24 views
Month 47: 33 views
Month 48: 33 views
Month 49: 40 views
Month 50: 28 views
Month 51: 46 views
Month 52: 25 views
Month 53: 30 views
Month 54: 48 views
Month 55: 30 views
Month 56: 17 views
Month 57: 37 views
Month 58: 24 views
Month 59: 26 views
Month 60: 27 views
Month 61: 46 views
Month 62: 38 views
Month 63: 27 views
Month 64: 29 views
Month 65: 40 views
Month 66: 20 views
Month 67: 38 views
Month 68: 37 views
Month 69: 26 views
Month 70: 48 views
Month 71: 19 views
Month 72: 30 views
Month 73: 36 views
Month 74: 26 views
Month 75: 39 views
Month 76: 27 views
Month 77: 15 views
Month 78: 46 views
Month 79: 24 views
Month 80: 25 views
Month 81: 26 views
Month 82: 34 views
Month 83: 30 views
Month 84: 17 views
Month 85: 34 views
Month 86: 27 views
Month 87: 27 views
Month 88: 30 views
Month 89: 19 views
Month 90: 38 views
Month 91: 25 views
Month 92: 13 views
Month 93: 40 views
Month 94: 33 views
Month 95: 30 views
Month 96: 18 views
Month 97: 19 views
Month 98: 10 views
Month 99: 46 views
Month 100: 41 views
Month 101: 19 views
Month 102: 31 views
Month 103: 46 views
Month 104: 43 views
Month 105: 30 views
Month 106: 15 views
Month 107: 33 views
Month 108: 25 views
Month 109: 20 views
Month 110: 46 views
Month 111: 25 views
Month 112: 32 views
Month 113: 35 views
Month 114: 27 views
Month 115: 32 views
Month 116: 46 views
Month 117: 36 views
Month 118: 46 views
Month 119: 28 views
Month 120: 22 views
Month 121: 31 views
Month 122: 22 views
Month 123: 32 views
Month 124: 30 views
Month 125: 47 views
Month 126: 67 views
Month 127: 42 views
Month 128: 31 views
Month 129: 30 views
Month 130: 57 views
Month 131: 18 views
Month 132: 32 views
Month 133: 27 views
Month 134: 33 views
Month 135: 28 views

Total Views: 1.5K

Total Downloads: 138

All Trends