GLOBALIZATION IN AN EMERGING ECONOMY: THE NIGERIAN EXPERIENCE

Abstract

This study examined the Nigerian experience of globalization in an emerging economy between 1981 and 2025. The specific objective is to analyze the impact of trade openness on Nigeria's economic expansion; analyze the impact of currency rates on Nigeria's economic expansion; assessed the effect of foreign direct investment on Nigeria's economic expansion. Ordinary least square method was adopted because of its Best Linear Unbiased Estimators (BLUE) properties The variables used were sourced from Central Bank of Nigeria Statistical Bulletin. The variables used were exchange rate, foreign direct investment and trade openness. The Central Bank of Nigeria (CBN) statistical bulletin 2024 VOL 24 was the source of the information gathered. The unit root test and multiple regressions were used in the analysis. The research showed that Nigeria's economic growth is not significantly impacted by trade liberalization. Nigeria's economic growth is not significantly impacted by exchange rates. Nigeria's economic growth is significantly impacted by foreign direct investment. The study concludes that foreign direct investment has a greater impact on Nigeria's economic growth than trade openness or fluctuations in exchange rates. This study therefore recommends that the government should implement measures that encourage stable currency rates by managing money well and reducing reliance on imports. The naira's value will rise as a result, boosting investor confidence. Nigeria should facilitate investment by developing infrastructure, offering tax breaks, and streamlining corporate laws. FDI inflows will be further attracted and sustained by bolstering property rights and lowering administrative obstacles.