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An Empirical Analysis of the Impact of Bank Credit on the Manufacturing Sector Output in Nigeria (1986 - 2016)

This study examined the impact of bank credits on manufacturing sector outputs in the deregulated Nigerian economy for the sample period 1986-2016. The data collected were analysed using Autoregressive Distributed Lag (ARDL) models. It was found out that banks credits contributed positively to manufacturing sector output in both short-run and long-run. For causality relationship, EXR, SAV and LR granger cause MSO. Hence, the main determinants of MSO are EXR, SAV and LR. Therefore, it was recommended amongst other things, that the Central Bank and other monetary authorities alike should make po…

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