ABSTRACT

The study investigated the influence of monetary policy on economic growth in Nigeria for the period 1996 to 2016. In order to tackle the broad objective, the study specifically adopted lending (interest,.) rate and cash reserve ratio as monetary 1)0/icy instruments and thus the)) served as the independent variables in the study. However, the gross domestic product (GDP,) was adopted as the proxy for economic growth and it served as the dependent variable. The researcher collected data for the variables from the Central Bank of Nigeria (CBN) Statistical Bulletin (2016) and the Ordinary Least Squares (OLS,) multiple regression technique was used to analyze the collected data. Findings from the study showed that lending (interest,) rate had a negative and signicant effect on economic growth in Nigeria. The study revealed that cash reserve ratio has a positive and sign ficant effect on economic growth in Nigeria. Jr is recommended that government should fashion out ways of guarding against increasing interest rate. The government can do this by a downward review of the Monetary P0/ic)) Rate (MPR,) by the Central Bank of Nigeria ('C'BA).