Abstract:
The objective of this research work is to evaluate the foreign exchange management policies in Nigeria. Exchange rate policy are usually directed towards achieving some target f or exchange value of the domestic currency in terms of foreign currencies with the objective of influencing the country's international trading and investment pattern. It also helps the government to maintain a high and s table level of employment averse to inflation and fostering of conditions conducive for the nation to achieve its potentials. The purpose of this study in summary is to cover among others. (1) To determine if there is a stable relationship between exchange rate, import and the export trends in Nigeria between the years 1986-1997. (2) To ascertain the degree of which the import trend vis-à-vis export trend has fared between 1986 and 1997. (3) To determine the import of a switch from fixed exchange rate to floating exchange, the determination mechanism on the export one hand and import on the other hand. The overall finding from the above is that the foreign exchange market should continue to be deregulated and the naira exchange rate floated because of its inherent advantage over the fixed currency. Finally, this dissertation concludes that the authority should put in place other measures to boost domestic production end export business.