The Size and Sustainability of Nigerian Current Account Deficits

Olumuyiwa Adedeji

No 2001/087, IMF Working Papers from International Monetary Fund

Abstract: This paper uses an intertemporal model of the current account and macroeconomic indicators to examine the size and sustainability of Nigerian current account deficits over the 1960-97 period. The results indicate that the Nigerian economy appeared to satisfy its intertemporal budget constraint during this period. However there were years marked by excessive current account deficits. The results also support the view that current account deficits accompanied by macroeconomic instability and structural weaknesses can degenerate in to an external crisis.

Keywords: WP; capital flight; exchange rate; foreign exchange; Excessive current account deficits; external sustainability; Nigeria; current account balance; current account position; present value; structural adjustment; optimal current account; current-account sustainability; current account determination; Nigerian current account deficit; Current account; Current account deficits; Current account balance; Current account surpluses; Sub-Saharan Africa (search for similar items in EconPapers)
Pages: 33
Date: 2001-06-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21)

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=15152 (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:imf:imfwpa:2001/087

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Working Papers from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().