CONSTRUCTION BUSINESS & PROJECT MANAGEMENT CONFERENCE 2022 · Vol. 2022, Issue 1

Trends in exchange rate of the Naira and the cost of roof coverings in Benin City

Bartholomew Obaedo, Isaiah Omoregie and Thankgod Omongbale

Keywords: Exchange rate, naira, Pearson coefficient, roof covering, regression equation

Abstract

The exchange rate has been noted as contributing to the price increase trend in building materials. This study looked at the relationship between the Naira exchange rate and the cost of various roof coverings in Benin City from 2017 to 2021. The price of the selected roof coverings was gathered via a survey in the study region. The exchange rate of the Naira values was sourced from the financial authority’s database. The statistical relationship between the Naira exchange rate and the price of roof coverings was tested using correlation analysis, and the impact of the Naira exchange rate on the cost of roof coverings was tested using regression analysis. According to the findings, the exchange rate of the Naira and the price of 1m2 of roof coverings had a substantial positive link. Furthermore, the exchange rate of the Naira and the cost of roof coverings have a positive linear relationship. It is imperative and suggested that a policy be implemented to allow the Naira to recoup its lost foreign exchange value. According to this study, the cost of roof coverings is influenced by movements in the Naira exchange rate over time.