Interest and Inflation Rate: Its Effect on the Manufacturing Sector of Nigeria Economy

Abstract

The effect of interest and inflation rate on the manufacturing sector of Nigerian economy is to determine the nature of the relationship between interest rate and manufacturing sector of the Nigerian economy. The purpose of this study is to find out the present level of interest rate and inflation rate adopted in the manufacturing sector of Nigerian economy. The research instrument used a regression method which aims at assessing the effect of interest rate and inflation rate which helps to balance inflation and keep the economy stable and used to capture the causal relationship between globalization and the manufacturing sector of Nigeria. The study recommends that the manufacturing industry should give relief to manufacturer and improve infrastructure to restore the glory of the manufacturing sector in Nigerian economy.