An investigation of the effects of economic sanctions on Nigeria’s trade relationships: A case study of the Ministry of Foreign Affairs
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Background of the study :
Economic sanctions, imposed by external entities or multilateral organizations, are intended to influence national policies by restricting trade and financial transactions. In Nigeria, the impact of such sanctions on trade relationships has been a subject of intense debate, particularly regarding how these measures affect diplomatic and economic ties. Between 2000 and 2020, the Ministry of Foreign Affairs has played a pivotal role in negotiating and managing Nigeria’s response to economic sanctions. The sanctions have had mixed outcomes; while intended to pressure governments into policy changes, they often lead to unintended consequences such as reduced export competitiveness and strained bilateral relations (Udo, 2023). Some studies argue that sanctions compel governments to develop alternative trade partnerships, whereas others find that prolonged sanctions weaken overall trade performance (Nwankwo, 2024). This study examines the effects of economic sanctions on Nigeria’s trade relationships by reviewing policy documents, trade data, and diplomatic communications. Through qualitative interviews with ministry officials and quantitative trade analysis, the research aims to elucidate the mechanisms through which sanctions impact trade and to assess the Ministry’s role in mitigating these adverse effects (Adeniyi, 2025).
Statement of the problem
Economic sanctions have posed significant challenges to Nigeria’s trade relationships, creating uncertainty and reducing market access for critical exports. The Ministry of Foreign Affairs has struggled to offset the negative impacts of these sanctions, resulting in weakened trade ties and diminished investor confidence. Persistent sanctions have led to market isolation in some sectors, adversely affecting economic growth and diplomatic relations. There is a notable lack of comprehensive studies that explore how sanctions disrupt trade and how the Ministry’s strategic responses can mitigate these disruptions. This study aims to fill that gap by analyzing the direct and indirect effects of economic sanctions on Nigeria’s trade relationships and evaluating the ministry’s role in managing these challenges (Udo, 2023).
Objectives of the study:
- To investigate the impact of economic sanctions on Nigeria’s trade relationships.
- To assess the effectiveness of the Ministry of Foreign Affairs in mitigating sanction-related disruptions.
- To propose strategies for strengthening trade ties amid sanctions.
Research questions:
- How have economic sanctions affected Nigeria’s trade relationships?
- What role has the Ministry of Foreign Affairs played in addressing these effects?
- What strategies can improve trade resilience under sanctions?
Research Hypotheses:
- H₁: Economic sanctions significantly disrupt Nigeria’s trade relationships.
- H₂: The Ministry’s interventions have a moderating effect on these disruptions.
- H₃: Enhanced diplomatic strategies can mitigate the adverse effects of sanctions.
Significance of the study
This study is significant as it examines the impact of economic sanctions on Nigeria’s trade relationships and evaluates the strategic role of the Ministry of Foreign Affairs. The findings will provide policymakers with a deeper understanding of the challenges posed by sanctions and offer actionable recommendations for strengthening diplomatic and trade resilience. This research contributes to both academic debates and practical policy adjustments (Nwankwo, 2024).
Scope and limitations of the study:
This study is limited to investigating the effects of economic sanctions on Nigeria’s trade relationships through the lens of the Ministry of Foreign Affairs only.
Definitions of terms:
- Economic Sanctions: Restrictions imposed by external entities to influence national behavior.
- Trade Relationships: The economic and diplomatic interactions between countries.
- Ministry of Foreign Affairs: The government agency responsible for managing Nigeria’s international relations.
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