THE EFFECT OF NAIRA REDESIGN AND ITS EFFECT ON HOSPITALITY INDUSTRY AND NIGERIA’S ECONOMIC GROWTH

The research evaluates the effect of Naira redesign on Hospitality Industry and Nigeria's Economic Growth. To achieve the set objectives of this research work, three research questions and three research hypotheses were formulated to guide the study. Relevant literatures were consulted. The study adopted a quantitative research design, the population of the study comprised secondary data extracted from World Bank publications (data.worldbank.org) spanning from 1970 to 2022. Purposive sampling technique was explored. The sample size consist of data extracted from World Bank publications (data.worldbank.org) spanning from 1970 to 2022. The study made use of secondary data. The data presented were analyzed using regression model, unit root test and co-integration analysis. The research findings revealed among others that, redesigning the naira is a good monetary policy and has a significant impact on hospitality industry and naira economy at large, which is proxied by the interest rate and the exchange rate, to prevent naira counterfeiting and control the amount of currency in circulation to reduce inflation. From the findings of the study the researcher concluded that, redesigning the naira is a good monetary policy, which is proxied by the interest rate and the exchange rate, to prevent naira counterfeiting and control the amount of currency in circulation to reduce inflation. This study's sole purpose is to examine the effect of the Naira redesign and monetary policy on the Hospitality Industry and Nigerian economy at large. The government should strictly implement the Naira redesign decision via the Nigerian central bank periodically to prevent the counterfeiting of Naira notes, withdraw approximately 80% of Naira currency held outside of commercial banks, and reduce the inflation rate that has led Nigeria to the recession, which will have a positive effect on the hospitality industry and the Nigerian economy. The Naira redesign policy should properly be implemented by the federal government through the central bank of Nigeria, to make sure the monetary policy has a positive, significant effect on the Nigerian economy.