Export Performance in Nigeria and China: A Comparative Study

Exports are drivers and indicators of long-term economic growth and sustainable development in any given economy. Despite its importance most of the reviewed studies focused on the export performance and macroeconomics variable in a country, without considering a comparative study between two countries. The study therefore, examined the comparative analysis of export performance in Nigeria and China from1980-217. The study relied on secondary data which were collected from Central Bank of Nigeria (CBN) Statistical Bulletin and Word Bank Development Indicator with the adoption of Vector Autoregressive model (VAR) for the formulated objective. The VAR result showed that in both Nigeria and China gross domestic product stimulated export performance with 2.5% and 0.9% respectively. Also, findings revealed that gross fixed capital formation contributed 2.9% to Nigerian economy performance whereas, exchange rate contributed 1.9% to Chinese economy performance. Furthermore, consumer price index had no significance influence on export performance in both countries. The study therefore, concluded that gross domestic product jointly influenced economy performance of both countries with greater effect on Nigerian export performance; while gross fixed capital formation and exchange rate individually influenced it in Nigerian and China. It was recommended that the governments in both countries should introduce policies that will promote exports through gross domestic product. Likewise, Nigerian government should continue spending on her fixed capital formation especially in areas like infrastructural development; while firms should be encouraged to spend more on fixed assets.