Trade and growth: The Nigerian experience

This paper analyses the impact of trade on Nigeria's economic growth. Using a two-gap model, it estimates the relationships between exports, foreign capital and economic growth. The paper also provides an assessment of the relative influence of Nigeria's two main types of export (agricultural produce and petroleum) on economic growth. The results of the analysis provide empirical support for the hypothesis that trade has been an important engine of growth in Nigeria. The paper recommends, as part of Nigeria's strategy for achieving rapid economic development, the vigorous pursuit of an export promotion policy.