This study looked at the empirical association between foreign direct investment (FDI) and economic growth (RGDP) in Nigeria using the flexible properties of the wavelet 
approach. This novel technique allows the decomposition of time series across time scales. This study used continuous wavelet transform, wavelet covariance, wavelet 
correlation, and wavelet coherence ratios to investigate the relationship between FDI and RGDP using monthly data from 1980M1 to 2019M12. For almost the entire studied period on a long scale, the study evidences the strong coherence between the series. It is noteworthy that there is the existence of bidirectional causality in the long timescale. Meanwhile, the wavelet-based Granger casualty results indicate a bidirectional causal interplay between FDI and RGDP in the short, medium, long, and very long run. Thus, it can be recommended that the government needs to attract more FDI inflows into the country and further provide and nurture the expansion of FDI inflows in the country, ultimately benefiting economic growth.

Keywords: Economic growth, FDI, Nigeria, wavelet coherence, wavelet-based Granger causality.