International Journal of Academic Accounting, Finance & Management Research (IJAAFMR)   Year: 2022 | Volume: 6 | Issue: 8 | Page No.: 109-118 Trade Policy Drivers and Economic Performance of Opec Member States Download PDF AGBOGUN, Oghenekparobo Ernest and EHIEDU, Victor Chukwunweike Abstract: This study examined linkage between Trade Policy Drivers and Economic Performance of OPEC Member States spanning from 1991 to 2021. The regressor is Trade Policies measured by: (i) Import Penetration Policy; (ii) Export Penetration Policy; (iii) Degree of trade openness; (iv) Exchange Rate Policy; (v) Inflation Rate Policy; and (vi) Interest Rate Policy while the regressand is Economic Performance measured by (i) gross domestic product per capital-GDPC. Data for the study were sourced from both the World Bank Data Base and the annual reports of the ten sampled OPEC member countries. Prequel to presenting the main result, the model was subjected the model to Panel unit root test, Kao Cointegration test, Hausman Test, and Breusch Pagan Test. Having subjected the model to series of analysis, the robust random effect model was found most appropriate model for the study. The study found that Import Penetration Policy, Export Penetration Policy, Degree of trade openness, and Interest Rate Policy all exerted positive significant effects on GDPC. Meanwhile, Exchange Rate Policy exerted negative significant effects on GDPC. However, Inflation Rate Policy exerted negative insignificant effects on GDPC. Hence, concludes that higher import penetration, export penetration, degree of trade openness, stable interest rate, and low exchange rate are instrumental to the GDPC in OPEC member states. As such, for OPEC member states to reap the benefits inherent in trade and at the same time achieve higher GDPC, policy makers in OPEC member states must ensure that the gains accruable from exports are used for productive purposes and that individual involves in smuggling should be apprehended and punished dully.