CBN Digital Commons (Central Bank of Nigeria)
Not a member yet
1580 research outputs found
Sort by
Capital formation and economic growth in Nigeria: an empirical re-examination
No full textThis study re-examines the impact of capital formation on Nigeria\u27s economic growth. The paper adopts the Dynamic Ordinary Least Square (DOLS) technique on annual time series data covering the period 1981 to 2018. Infrastructure, health and skills competitiveness indices computed from the global competitiveness reports were adapted to capture key specifics of physical and human capital formation. The results from the DOLS show that gross fixed capital formation had a negative and significant impact on economic growth. The results also indicate that external debt and total labour force had a negative effect on economic growth. On the other hand, human capital formation and interest rate had positive effect on economic growth in Nigeria
An Overview of Federal Government Policies and Programmes for Food Security in Nigeria
No full textNigeria has a vast land area of 91.1 million hectares supported by 1.3 million hectares of water bodies, 3.14 million hectares of irrigated land and a coastal line of over 800 km that is viable for virtually all aspects of agro-allied sector (crops, agro-forestry, fisheries, poultry and livestock). Presently, only 32 million out of the 81 million hectares of arable land is under cultivation and typical farm size ranges between 0.5 hectares and 4 hectares in the southern and northern parts of the country, respectively.To this end, policies are enacted as a deliberate plan of action to guide decisions and achieve national outcomes. Policies usually consist of principles and rules governing the behaviour of persons in an organisation
A Review of Federal Government Support Policies and Programmes for Food Security: A Farmers Perspective
No full textTo properly address the above topic, we need to examine how the farming community evolved over the years in Nigeria. We equally need to understand the impact of the support policies and programmes of the Federal Government, analyse them, identify which aspects of these policies and programmes require review, and then offer a way forward. We need to examine and define some terms and raise questions that will form the basis of our presentation. These include: Who is a farmer? What is food security? What are the current Federal Government support policies and programmes? How have these policies and programmes supported farmers to enhance farm performance, progress and growth based on the desired, expected or projected objectives and outcomes? What are those Federal Government support policies on food security that require review? What other non-governmental policy programmes on food security that affect the farmers performance, progress and growth that require review
Central Bank of Nigeria and the Developmental Function: some thoughts on policy measurement perceptions
No full textThe developmental function is one prominent contribution of the Central Bank of Nigeria to the Nigerian economy. Routine reporting of this function focuses on volume of projects funded, disbursements, and repayments. Exploring the possibility of expanding the reporting scope, this paper conceptualized and illustrated handy measures of policy anchored on macroeconomic aggregates, to track this function relative to other macroeconomic policy ends. Descriptive and inferential analyses suggested that the financial, economic and market intensity measures were quite responsive to developments in the economy and could be useful tools for policy reporting purposes. The pricing intensity indicator suggested distortions in the pricing mechanism. It is recommended that the pricing of the interventions receive some look in by the Bank while the indicators should still be interpreted with caution
External Sector Liberalization and Output Growth in Nigeria
No full textThe paper investigates the impact of external sector liberalization (foreign direct investment, external debt stock, trade openness and exchange rate) on the output growth in Nigeria from the period 1981 to 2019, utilizing correlation analysis, Granger causality test and vector autoregression (VAR). The results indicate that foreign direct investment, external debt stock, trade openness and exchange rate all correlate positively with gross domestic product. Also, the granger causality test indicates that foreign direct investment, trade openness and exchange rate granger cause the output growth in Nigeria. From the VAR result foreign direct investment exerted positive and significant impact on the output growth in Nigeria. The paper thus recommended the formulation of an admixture of fiscal and monetary policy, including harmonized foreign exchange policy, to ensure stable macroeconomic environment that will attract foreign direct investment, especially into the tradeable sector that holds higher potential for output growth
Digital Only Banks The Changing Face of Global Banking: challenges, opportunities and AML/CFT implications for Nigeria
No full textThe drastic digitization brought about by evolution of technology in the world has changed almost every sphere of human life with the most recent effect being moved to cashless economy, while the role of digitization in the banking sector is altering customer demand and preferences, banks are becoming digitally oriented to meet the forces of demand and supply. This has led to the birth of digital-only also called challenger bankers or branches banks as they operate without a physical location, only have a location for admin purposes or hosting their servers. This growing wave of consumer oriented banking institutions focuses on serving their clients exclusively through online means, no physical locations and focusing on real time data analytics. In this paper I will discuss digital-only banks as a changing face of banking in Nigeria, challenges and opportunities, regulatory concerns by the authority. Nigeria population demographics and how the youths will benefit from digital-only-bank, their merits and demerits, their impact on Nigeria\u27s economy as a developing country, and how they will change the face of doing business amongst the youths in Nigeria
Budget deficit and economic growth in Nigeria
No full textThis paper examines the relationship between budget deficit and economic growth in Nigeria, from a linear and non-linear perspective, using annual time series data from 1981 to 2019. The linear model, which involves the use of an autoregressive distributed lag (ARDL) approach, was compared with a non-linear analysis, using a threshold autoregressive (TAR) model. The ARDL analysis reveals that the growth of national output is positively driven by the persistent budget deficit in Nigeria. This was substantiated by the TAR model which indicates that though budget deficit drives economic growth in Nigeria, the positive relationship holds only if the deficit does not exceed the optimal threshold, which is 2.02 per cent of GDP. Our analysis on the control variables shows that interest rate has negative and significant impact on economic growth, while exchange rate has no impact. We recommend that, government should lower interest rate and that expansionary fiscal policy should ensure that fiscal deficits do not exceed 2.02 per cent of the gross domestic product
Measuring the impact of loan-to-deposit ratio (LDR) on Banks\u27 liquidity in Nigeria
No full textThe study measures the impact of loan to deposit ratio (LDR) on Banks\u27 liquidity in Nigeria between 2000Q1 and 2019Q3. The paper applied the Factor-Augmented Vector Autoregressive (FAVAR-X) methodology for estimation and forecasting. The result suggests that an LDR of 70.0 per cent, which reduces Banks\u27 liquidity from N187.95 billion in 2019Q4, through N153.09 billion in 2020Q2 to close at N135.15 billion in 2020Q4, may require cautious acceptance. Thus, increasing LDR beyond 70.0 per cent may impact Banks\u27 liquidity negatively. Furthermore, a direct relationship is established between LDR and inflation. The findings conform to a priori expectations as higher LDRs translate to increases in lending by Banks\u27 which could boost output and ultimately cause a spike in inflation. The study emphasises the importance of caution by not increasing the LDR above 70.0 per cent, as this could cause excessive credit growth, increased inflation, and erosion of Banks\u27 liquidity
Are Nigerian banks vulnerable to oil price shocks? A stress test approach
No full textThis study empirically examines the vulnerability of the Nigerian banking industry to extreme, but plausible, adverse oil price shocks. A structural vector autoregressive (SVAR-X) is adopted to achieve this objective. The study period covers 2007Q1 – 2020Q4. The simulations assess the asset quality performance of DMBs, using the NPLs, under three scenarios (baseline, adverse and severely adverse). The findings suggest that the entire banking industry, as well as individual DMBs, are vulnerable to adverse oil price shocks. Accordingly, the study recommends, strict compliance with the single obligor limit, by commercial banks, to mitigate adverse effects of volatilities in crude oil prices. However, due to data limitations the study cannot extend the analysis, to the impact of oil price shocks, on the capital adequacy of DMBs. Consequently, the need for further studies on this issue cannot be overemphasised
Welcome Address
No full textThe theme of this year’s Seminar is tagged “Food Security in Nigeria: Options for policy”. The central focus of the Seminar is to discuss policy options for tackling the challenges of food insecurity, with the resultant outcomes on poverty reduction, job and wealth creation, as well as overall growth and development of the Nigerian economy. This year’s Seminar provides a unique opportunity for us all, because food holds the key to quality human existence. Indeed, food security is at the core of every nation’s development agenda. The quantity and quality of food available to the citizenry is correlated with the productivity and growth of an economy