Comparative analysis of modes of monetary exchange rates in Nigeria.
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The study examined and compared the three modes of monetary exchange rates available in the Nigerian financial sector. The study utilized the data on the three alternative modes of monetary exchange rates, namely, Central Bank of Nigeria, Bureau de Change rates and Inter-bank rate against US Dollar. Time series was fitted to the three sets of data and the result examined for effective comparison. The results reveal that Central Bank of Nigeria yields the most stable exchange rate while Bureau de Change rates and the Inter-bank exchange rates fluctuate over the periods. Autoregressive integrated moving average (ARIMA) model was used to fit time series to the three sets of data. Findings reveal that there are variations in the performances of the three modes of exchange rates against US Dollar. The study concluded that Central Bank of Nigeria exchange rate is most stable while Bureau de Change and Inter-bank exchange rates to US Dollar fluctuate over the period under investigation.
Nigerian Financial Sector , Exchange rates
Mojekwu,J.N.,Okpala,O.P. & Adeleke,I.A. (2011) Comparative analysis of modes of monetary exchange rates in Nigeria. African Journal of Business Management. Vol.5(34), p.13025-13029.