This study examined the influence of oil price and exchange rate volatility on Economic Growth in Nigeria from 1980 to 2018. Time series data from secondary source ranging from 1980-2018 were employed were employed. The model formulated depicts Real GDP as the dependent variable while Exchange Rate (EXR), Oil Price (POIL), Foreign Direct Investment (FDI) and inflation (INFL) are independent variables. The study employed Johansen Cointegration estimation techniques and VECM to test for the short and long runs effect of the variables used. The ADF test reveals that all the variables are stationary. The results show that POIL and EXR are positively related to GDP. Further findings reveal that there exist two equations at 5% level in both trace and Max – Eigen statistic. This implies that exchange rate volatility and oil revenue contribute positively to GDP in the long run as well. It is therefore recommended that government should adopt certain policy which will help to control the fluctuation and periodic change in oil price. Furthermore, Nigerian government should take serious steps to improve market efficiency and make sure that any variability in oil prices is essential and not negligible.
