Sources of Economic Policy Uncertainty in Nigeria: Implications for Africa

Abstract

Purpose: This chapter looks specifically at the sources of economic policy uncertainty in Nigeria, and discusses their impact on the Nigerian economy while drawing implications for Africa. It identifies factors that transmit uncertainty in economic policy in Nigeria and draw implications for other African countries.

Methodology: This chapter uses a literature survey methodology to identify the sources of economic policy uncertainty in Nigeria.

Findings: The identified sources of economic policy uncertainty in Nigeria are: the frequent changes in central bank policy, unexpected changes in government policy, political interference, unexpected fall in global oil price, recession, and unethical practices.

Implications: The implication of the study is that rising economic policy uncertainty in Nigeria can have a significant effect on the Nigerian economy and for connected African countries.

Originality: Previous studies have not examined the sources of economic policy uncertainty in Nigeria.

Citation

Ozili, P.K. (2022), "Sources of Economic Policy Uncertainty in Nigeria: Implications for Africa", Grima, S., Özen, E. and Romānova, I. (Ed.) Managing Risk and Decision Making in Times of Economic Distress, Part A (Contemporary Studies in Economic and Financial Analysis, Vol. 108A), Emerald Publishing Limited, Leeds, pp. 37-50. https://doi.org/10.1108/S1569-37592022000108A031