EXCHANGE RATE, TRADE FACILITATION AND INTERNATIONAL FLOWS- CHM

DepartmentAccountancy

Amount₦10,000.00

Abstract This study examined the relationship between exchange rate, trade facilitation and international flows. The study specifically examined the effect of official exchange rate on operating cash flows of manufacturing firms in Nigeria, the effect of parallel market rate on operating cash flows of manufacturing firms in Nigeria and also the effect of swap exchange of coupon rate on operating cash flows of manufacturing firms in Nigeria. The researcher adopted ex-post facto research design. The choice of the ex-post facto design is because the research relied on already recorded events, Time series data covering a period of 10 years for the sampled firms was estimated using descriptive statistics, unit root test and correlation analysis. The essence of the descriptive statistics was to measures the variables using statistical tools as measures of central tendency, normality and central dispersion. The unit root test were used to measure the stationarity of the variables as well as to ascertain the regression model was used for analysis while correlation analysis was used to test the hypotheses of the study. The result of the analysis shows that Official exchange rate has significant effect on the operating cash flows of manufacturing firms in Nigeria. Parallel market rate has no significant effect on the operating cash flows of manufacturing firms in Nigeria. Swap exchange of coupon rate has significant effect on the operating cash flows of manufacturing firms in Nigeria. Based on the finding, the study recommends among others that Government agencies should enact monetary and fiscal policies that will aid in reducing the extent of exchange rate fluctuation in Nigeria.  





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