Programme: Economics

Permanent URI for this collectionhttp://itsupport.cu.edu.ng:4000/handle/123456789/28791

Here you will find works strictly related to Economics

Browse

Filters

20261

Settings

Has files: YesSubject: search.filters.subject.AfCFTA

Search Results

Now showing 1 - 1 of 1
  • No Thumbnail Available
    Item
    INDUSTRIAL POLICY AND TRADE COMPETITIVENESS UNDER AFCFTA: EVIDENCE FROM NIGERIA’S TEXTILE AND APPAREL SUB-SECTOR
    (Covenant University, Ota, 2026) OBISESAN, Mojolaoluwa Ruth; Covenant University, Dissertation
    Nigeria's textile sub-sector was once among the largest in Sub-Saharan Africa (SSA), but it has experienced a persistent decline in trade competitiveness despite decades of industrial policy interventions. Structural macroeconomic constraints, including exchange rate volatility, energy deficits, inflationary pressures, and weak institutional effectiveness, have compounded this decline, raising urgent questions about existing policy frameworks. The African Continental Free Trade Area (AfCFTA) has further heightened this urgency, as the phased liberalisation of tariffs exposes domestic producers to intensified regional competition. This study investigates the effects of industrial policy and structural macroeconomic variables on trade competitiveness in Nigeria’s textile sub-sector under the AfCFTA. It examines the long-run and short-run effects of tariff protection, the real effective exchange rate, electricity consumption, inflation, and government effectiveness on trade competitiveness, as measured by the Balassa Revealed Comparative Advantage index. Adopting a mixed-methods design, the quantitative component employs the Autoregressive Distributed Lag bounds testing approach using annual time-series data spanning 1996 to 2023, while the qualitative component conducts a structured content analysis of primary AfCFTA framework documents extending to 2025. The findings reveal that tariff protection and electricity consumption have significant long-run effects on trade competitiveness, whereas the real effective exchange rate, inflation, and government effectiveness are not statistically significant. The content analysis reveals that AfCFTA's rules of origin framework and phased tariff liberalisation create a dual constraint that Nigerian producers cannot currently navigate. The study recommends performance-conditioned tariff restructuring, dedicated industrial electricity provision, upstream supply chain development, and active engagement with AfCFTA's rules of origin criteria as prerequisites for sub-sectoral competitiveness.