The study examined the effect of monetary policy on the growth trajectories from 1984 to 2023. Monetary policy rate was measured using exchange rate, interest rate, and inflation rate, while sectoral growth was measured using agricultural sector growth, industrial sector growth rate, and service sector growth rate. Unit root test was conducted using the Augmented Dickey Fuller (ADF) and Phillips-Perron (PP) test, and the result indicated mixed order of integration. The Autoregressive Distributed Lag (ARDL) bound test was employed, and the result indicated that there is no significant long-run relationship among the variables. Regression result shows that inflation rate, exchange rate, and interest rate had no significant effect on the agricultural sector, service sector, and industrial sector. The study concludes that monetary policy does not determine sectoral performance in Nigeria. The study recommends that the Central Bank of Nigeria should, among other things, transcend a general and single monetary policy framework to accommodate the development of sector-specific frameworks.
Okereke et al. (Mon,) studied this question.