Effect of covid-19 pandemic on foreign exchange rate volatility: the Nigeria experience
Author
Source
Journal of Finance and Corporate Governance
Issue
Vol. 6, Issue 1 (30 Jun. 2022), pp.76-92, 17 p.
Publisher
Publication Date
2022-06-30
Country of Publication
Algeria
No. of Pages
17
Main Subjects
Topics
- Socio-economic indicators
- Exchange rates
- Foreign exchange
- Time series
- Health facilities
- Nigeria
- Central banks
- Social distancing(Public health)
- Error correction model
- Economic activities
- Positivity effect
- Central Bank
Abstract EN
The outburst of the Covid-19 brought anxiety that led to social distancing, stay at home, restriction in traveling locally and internationally, and finally, the financial instability globally as many economic activities shut down.
Consequently, the study examined the effect of the coronavirus pandemic on exchange rate volatility from February 29, 2020, to March 31, 2021.
The study utilized two-time series data which were sourced from daily reports on covid-19 from the Nigerian Centre for Disease Control (NCDC) and daily exchange rates US$/Nigerian₦ from the Central Bank of Nigeria (CBN) statistical bulletin.
The study used Error Correction Model (ECM) to analyze the data.
The bound test was used in the survey to establish a level of association between the independent variables and the regressor set.
The findings revealed that daily reported COVID-19 instances, daily death cases, and cumulative death cases had a positive effect on Nigerian exchange rate volatility.
Conversely, confirmed cumulative coronavirus cases do not impact the exchange rate in Nigeria in the short run.
Coronavirus significantly affected all macroeconomic indices, including the exchange rate.
The study will be helpful to the government and its agencies in the determination of the palliatives for the needy citizens.
It will also help the policy makers to develop strategies that can stabilize the economy and health sector to reduce the effect of the pandemic on the citizenry
American Psychological Association (APA)
Gbadebo, Abraham Oketooyin. 2022. Effect of covid-19 pandemic on foreign exchange rate volatility: the Nigeria experience. Journal of Finance and Corporate Governance،Vol. 6, no. 1, pp.76-92.
https://search.emarefa.net/detail/BIM-1381991
Modern Language Association (MLA)
Gbadebo, Abraham Oketooyin. Effect of covid-19 pandemic on foreign exchange rate volatility: the Nigeria experience. Journal of Finance and Corporate Governance Vol. 6, no. 1 (Jun. 2022), pp.76-92.
https://search.emarefa.net/detail/BIM-1381991
American Medical Association (AMA)
Gbadebo, Abraham Oketooyin. Effect of covid-19 pandemic on foreign exchange rate volatility: the Nigeria experience. Journal of Finance and Corporate Governance. 2022. Vol. 6, no. 1, pp.76-92.
https://search.emarefa.net/detail/BIM-1381991
Data Type
Journal Articles
Language
English
Notes
-
Record ID
BIM-1381991