Abstract:
This research work examined how International Monetary Fund (IMF) policies affect the performance of Nigeria economy. Researchers have questioned the benefits of IMF credit facilities to developing nations. This work therefore seeks to evaluate the impact of IMF policies like, reducing government expenditure (GEX), increasing public revenue through value added tax (VAT), increasing non-oil export (NONOILEXP), and reducing total import (TIMP) on Nigeria economy performance measured with real gross domestic product (RGDP). The analysed data were obtained from the Central Bank of Nigeria (CBN) statistical bulletin and World Development Indicators (WDI) for the period of 2009 to 2018. Ordinary Least Square (OLS) method was used to test the formulated hypotheses. The result revealed that IMF policy has significant effect on performance of Nigeria economy. Total import (TIMP) exerts negative influence on Nigerian economy while government expenditure (GEX), public revenue from value added tax (VAT), non-oil export (NONOILEXP), have positive effect on Nigeria economy performance. This work recommends among others that, Government should encourage the private sectors to participate in the economic activities to ensure that lost income from reducing government expenditure enters the economy back through the private sectors.
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