IMPACT OF INTERNATIONAL TRADE ON ECONOMIC GROWTH IN NIGERIA

Abstract

International trade has always played a vital role in the economic growth of every economy. Trade has always been an important aspect in every economy because of its contribution to the largest determinate of the GDP which is the consumption aspect. Nigeria being a third world economy depends highly on international trade for its growth, as it depends on the products of other countries such as technology, secondary goods etc. This study aims at determining the impact of international trade on the economic growth in Nigeria, covering a period of 1990 to 2019, 2020 been excluded because of the global economic meltdown experienced during that period, all economy international trade system was affected. This study uses secondary data from World Development Indicators (WDI), CBN statistical bulletin and another related journal. The ARDL estimation technique was adopted to appraise the impacted of international trade on the economic growth of Nigeria. The result of the appraise shows the existence of a long run relationship at 10% level of significance. This study recommend that the government should develop the manufacturing sector, by increasing its technological growth, improvement in the production of goods and services so has to reduce its level of import and this reduces its deficit balance of trade.