Foreign Direct Investment, Trade Openness and Economic Performance in Nigeria: Does Governance Quality Matter?

Abubakar Sule, Ibrahim Danlami Mohammed and Eleojo Joy Ebeh

African Journal of Economic Review, 2023, vol. 11, issue 3

Abstract: The present study attempts to explore whether governance quality matters in the dynamic linkage between foreign direct investment, trade openness, and economic growth in the case of Nigeria. This study interacts foreign direct investment and trade openness with governance quality. The study shows that foreign direct investment interaction with governance quality failed to have a contagion effect on economic growth. Also, the trade-governance quality interaction demonstrates a deleterious effect on economic growth. Based on the signs and statistical significance, the study concludes that governance quality matters to the attraction of foreign direct investment and trade facilitation. Therefore, for Nigeria to attract significant capital inflows and trade flow, there is an urgent need to put in place necessary regulatory laws.

Keywords: Agribusiness; International Relations/Trade (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://ageconsearch.umn.edu/record/339641/files/Sule.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:afjecr:339641

DOI: 10.22004/ag.econ.339641

Access Statistics for this article

More articles in African Journal of Economic Review from African Journal of Economic Review
Bibliographic data for series maintained by AgEcon Search ().