Exchange Rate Fluctuation and Tourism Sector Output in Nigeria

Peace, Ogbeba Ehigocho; Izuchukwu, Oji-Okoro; Shehu, Abba Abubakar

doi:10.18775/ijmsba.1849-5664-5419.2014.31.1006

Cited by 5 publications

(6 citation statements)

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“…A percentage change in exchange rate reveals an ignorable though negative relationship with GRGDP from the current period to eight months ago as found by Ogbeba et al (2016). Largely, exchange rate seems to be inconsequential in value at the same time in significance as GRGDP increases.…”

Section: Short Run Model Resultsmentioning

confidence: 74%

“…In this category, the empirical findings of Otu (2015); Yusuff and Akinde (2015); Matthew et al (2018) and Omodero (2019) have established a case for tourism as driver of economic growth in Nigeria. Whereas, other findings such as Ovat (2002); Adeleke (2008); Asuquo et al (2016) and Ogbeba et al (2016); Yusuff (2016) are at variance with this position. Notably, aside the discussions that bother on prospects of tourism in Nigeria, studies that adopted qualitative approach consistently found no economic growth (Adeleke, 2008;Ayeni and Ebohon, 2012;Yusuff, 2016).…”

Section: Introductionmentioning

confidence: 81%

“…However, for GDP, Eneji et al (2016) projected positive contribution of tourism to GDP based on the income multiplier effect it has in other African countries including Ghana, Gambia and Kenya among others. Ogbeba et al (2016) examined the exchange rate fluctuation and the output of tourism in Nigeria. The study covered the period of twenty-one years between 1995 and 2015 and adopted VECM, granger causality and co-integration approach for testing the relationship between the aforementioned variables.…”

Section: Studies On Nigerian Economiesmentioning

confidence: 99%

“…Most other studies had focused on the national impact of tourism on the economic advancement of the country using various parameters and methodologies as evident in the work of Ovat (2002); Esu (2013); Ayeni (2013); Yusuff and Akinde (2015); Ogbeba et al (2016); Asuquo et al (2016) and Eneji et al (2016) among others. In this category, the empirical findings of Otu (2015); Yusuff and Akinde (2015); Matthew et al (2018) and Omodero (2019) have established a case for tourism as driver of economic growth in Nigeria.…”

Section: Introductionmentioning

confidence: 99%

“…The inconsistency in findings was rather common with the quantitative studies (Ovat, 2002;Yusuff and Akinde, 2015;Asuquo et al 2016;Ogbeba et al 2016;Matthew et al (2018;Omodero, 2019). Essentially, studies that utilized a range of much older statistical data tend to establish positive relationship between tourism and economic growth in the country (Matthew et al 2018;Omodero, 2019).…”

Section: Introductionmentioning

confidence: 99%

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Tourism and Economic Growth in African Largest Economy

Salawu¹

2020

EJEF

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The study examines the nexus between tourism and economic growth in Nigeria from 1995-2017. Data were sourced from World Development Indicator and World Tourism Council data base online. Autoregressive distributed lag model (ARDL) was used in analyzing the data. The result of the Bounds test shows that the value of the Fstatistics is greater than the value of the upper bound of the Pesaran, Chin and Smith statistics table at 1% level of significance, which showed that there is a long run relationship among economic growth (GRGDP), growth in the receipt from tourism (GRTR) and exchange rate (EXR). The long run result stipulates that there is no significant relationship between GRTR and GRGDP on one hand and LEXR and GRGDP on the other hand. In the short run, tourism had negative impact on Nigeria's economic growth. The estimate indicates substantial role for time, previous state of the economy and tourism growth. While this result seems a contrast to theory, there may have been many factors connected to tourism development and practices which are anti-growth in the case of Nigeria. Furthermore, a percentage change in exchange rate reveals an ignorable though negative relationship with GRGDP. This may be due to uncertainty which surrounds exchange rate in a flexible regime. The study recommends that the government should invest in infrastructural facilities and tourist centers in order to boost economy of the country. Budgetary allocation can be channeled to tourism industry. Tax incentives to tourism firms should be encouraged.

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Section: Short Run Model Resultsmentioning

confidence: 74%

Section: Introductionmentioning

confidence: 81%

Section: Studies On Nigerian Economiesmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Tourism and Economic Growth in African Largest Economy

Salawu¹

2020

EJEF

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The impact of exchange rate and exchange rate volatility on tourism demand using disaggregated data

Rookayyah,

Seetanah,

Nunkoo

et al. 2024

Journal of Tourism Research

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The present study investigates the impacts of exchange rate and exchange rate volatility on inbound tourism demand in Mauritius, using annual data covering the period 1999–2019 and a panel autoregressive distributed lag model. In particular, we consider 17 major tourism markets for Mauritius. The sample is further divided into Eurozone (7 countries) and non‐Eurozone (10 countries) for additional insights. The results show that in the long run, both the exchange rate and its volatility have negative and significant impacts on tourism demand across the three samples considered, while income in the home country has a positive and significant effect on tourism demand. On the other hand, relative price is found to have a significant and negative effect on tourism demand only for the overall sample of 17 countries, while for both the Eurozone and non‐Eurozone, the impact is insignificant. The empirical results suggest that policymakers should give consideration to stronger monetary and fiscal regulations to increase tourism demand.

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The Impact of Tourism Development on the Local Communities in Namibia

Romeo

Tjizumaue

Campbell

et al. 2022

IJOM

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This article aims to identify and explain the current challenges being faced due to the impact of tourism development on the local communities in Namibia. The State touts Tourism’s socio-cultural benefits through its respective line ministries as highly significant towards the development and economic growth, as articulated in the current National Development Plan (NDP5). ”… The tourism industry is an important contributor to the generation of foreign exchange earnings, investments, revenue, employment, rural development, poverty reduction, and the growth of the country’s economy. Tourism also creates substantial direct and peripheral benefits because of its multiplier effect, based on its reliance on widespread supplies and services” ((NPC), 2017). The Foreign-exchange earnings and balance of payment benefits derived from tourism receipts are considered a double-edged sword. The money spent by tourists in the Namibian economy is significant. Tourism can have both negative and positive impacts on the local community. This desk research found an appalling concern for many developing countries to over-depend on tourism to pursue economic growth and development. It is argued that this serves as a demonstration of how tourism development elevates the prices related to real estate and general costs of goods and services, which eventually leads to inflation. Finally, we assume that self-efficacy positively influences the involvement of local communities in tourism development which has positive implications on their quality of life regarding social and economic bearings. Additionally, local communities should be more supportive and instead have a positive attitude towards tourism development, thus resulting in a more profitable tourism sector. In concluding, the authors viewed that the government should also ensure that the local people are well informed about the importance of tourism, how it impacts economic development and the realization of a sustainable tourism strategy for Namibia.

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Exchange Rate Fluctuation and Tourism Sector Output in Nigeria

Cited by 5 publications

References 0 publications

Tourism and Economic Growth in African Largest Economy

Tourism and Economic Growth in African Largest Economy

The impact of exchange rate and exchange rate volatility on tourism demand using disaggregated data

The Impact of Tourism Development on the Local Communities in Namibia

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