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Bilateral Trade Talk between Nigeria and India: A Recipe

Shehu Aliyu

MPRA Paper from University Library of Munich, Germany

Abstract: This paper on bilateral trade talk between Nigeria and India: a recipe seeks to assess the impact of exogenous factors on bilateral trade flows between the two countries. Gravity model of bilateral trade flow with import and export as regressands were estimated with income, exchange rate and index of openness as regressors in the import demand and export supply models. Results show that all the three variables were strong drivers of bilateral trade flows for India, to the exclusion of Nigeria in both models. This unveils the need for Nigeria reassesses its position in the bilateral relationship.

Keywords: Bilateral trade; Gravity model; income; exchange rate; index of openness (search for similar items in EconPapers)
JEL-codes: F14 F15 (search for similar items in EconPapers)
Date: 2007-11-26, Revised 2008-12-13
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Published in Nigerian Journal of International Affairs Volume 34, Number 1. pp. 93 – 104..Vol 34(2008): pp. 93-104

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