International Journal of Academic Accounting, Finance & Management Research (IJAAFMR)   Year: 2023 | Volume: 7 | Issue: 1 | Page No.: 59-69 Exchange Rate Shocks and Performance of Agricultural Subsector in Nigeria Download PDF Casmir C. OSUJI, Andrew E. O. ERHIJAKPOR, David O. AHONKHAI Abstract: The study investigated the effect of exchange rate shocks (EXCRS) on the performance of agricultural subsector (PFASS) in Nigeria, for the period of 2001-2020 (20years). The specific objectives is to examines the measures of EXCRS, namely; exchange rate (EXR), foreign direct investment (FDI), maximum lending rate (MLR) and consumer price index (CPI) on Agricultural Sector performance proxied with aggregate agricultural output (AAO) in Nigeria. Secondary data were sourced from the Central Bank of Nigeria Statistical Bulletin and National Bureau of Statistics (NBS) statistical databases, and the data set was described using descriptive statistics and the unit root test was conducted (using Augmented Dickey Fuller and Phillips Perron Tests) to ascertain if the data are stationary in order to have accurate result. The SVAR where analyzed in terms of SVAR Forecast Error Decomposition (FEVDs) and the Impulse-Response Function result with the aids of E-VIEW version 9.0 for the purpose of testing the research hypotheses raised The findings revealed that EXR, MLR and CPI have negative and insignificant effect on AAO in Nigeria while FDI positive and significant effect on AAO in Nigeria. Hence, the study concluded that EXCRS and has an insignificant influence on agricultural sector performance in Nigeria. It is recommended that Nigerian government should re-position it fluctuating EXR in the bids to increase its agricultural sector output.