POLITICAL INSTITUTIONS' INFLUENCE ON TRADE AND INVESTMENT POLICIES IN NIGERIA (2019 – 2023)

Abstract

This study explores the influence of political institutions on trade and investment policies in Nigeria from 2019 to 2023 through the lens of Institutional Theory. Utilizing a secondary research methodology, the analysis investigates how political transitions, governance reforms, and external shocks have shaped Nigeria's trade and investment landscape. The findings reveal that Nigeria's political institutions have played a crucial role in policy formulation and implementation, demonstrating both resilience and adaptability in response to changing circumstances. However, challenges such as regulatory inconsistencies, bureaucratic inefficiencies, and policy disruptions have impacted investor confidence and economic stability. To enhance policy effectiveness and investment attractiveness, the study recommends: enhancing institutional coordination by strengthening collaboration between political institutions to ensure coherent policy formulation and implementation, thereby avoiding regulatory inconsistencies, promoting legislative capacity building to empower the National Assembly in overseeing trade agreements, advocating fair trade practices, and aligning with international standards and sustaining policy stability by fostering institutional stability through predictable regulatory frameworks and long-term policy commitments, which will mitigate risks associated with political transitions and improve Nigeria's investment climate.