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Umar Muhammad Gummi, Ahmad Abubakar and Nurulhayati Aminu Bawa
The paper examined the recent oil price shocks that bedeviled the international oil market during the periods 2014Q3 and 2017Q2. Qualitative content analysis and review methods were employed by the paper to analyze the causes of the shock, and its consequences on the Nigerian economy. Based on the theoretical arguments, the paper presents both demand and supply driven factors that led to the shock, its positive and negative consequences as well as the future imperatives for Nigeria to manage the risk or impact of the shock. Therefore, the paper recommends strong commitment and cooperation by Nigeria with other oil producing countries in the international market toward stable oil price through aligning supply of and demand for oil in the international market. There is also the need for Nigeria to look inward and strive toward economic diversification through seeking more options other than relying heavily on the oil for the bulk of its revenue. Development in agricultural and industrial sectors is a key to achieving inclusiveness and sustained development that can withstand global shocks.