Exchange rate regimes and the demand for imports in Nigeria (1970-2008)

The book "Exchange Rate Regimes and the Demand for Imports in Nigeria (1970-2008)" offers a comprehensive analysis of the impact of exchange rate regimes on import demand in Nigeria over a period of nearly four decades. By applying an innovative approach that considers both aggregated and disaggregated import demand, the relationship between exchange rates and imports is examined in detail. The study employs the latest Bounds-Testing cointegration method within an Autoregressive Distributed Lag (ARDL) model to capture the dynamics between exchange rate regimes and import demand. The results reveal a significant long-term relationship, with import demand particularly responsive to exchange rate changes during the flexible regime phase. The findings suggest that a reduction in imports should be pursued by promoting domestic industries that produce capital goods and raw materials.