Liquidity Management in Nigeria

A solid and stable financial sector is essential to any functioning national economy and to ensuring balanced liquidity within the economy. Appropriate liquidity management is a de facto condition of price and foreign exchange control, stability, and economic growth. Despite establishing regulatory agencies and monetary policies, Nigeria has actually been suffering excess liquidity for a period of some time. There is a basic knowledge gap in the causes and nature of this feature of the economy, and the likely institutional deficiencies. Most seriously, there is severe lack of reliable national economic data and statistics, a problem that is hampering all aspects of economic planning and growth. This book aims to fill these gaps.

Despite establishing regulatory agencies and monetary policies, Nigeria has actually been suffering excess liquidity for a period of some time. There is a basic knowledge gap in the causes and nature of this feature of the economy, and the likely institutional deficiencies. Most seriously, there is severe lack of reliable national economic data and statistics, a problem that is hampering all aspects of economic planning and growth. This book aims to fill these gaps.

Contents: Issues in National Liquidity Management; Structures and Characteristics of the Nigerian Financial Sector; Liquidity Management by Banks; Liquidity Management by The Central Bank; Liquidity Management Strategy and Process in Nigeria; Approaches to Measuring Excess Liquidity; Excess Liquidity Estimates: A Comparison; Liquidity Mop-up Operations by the Central Bank of Nigeria; Stakeholders’ Views on Liquidity Management; Bank Capitalization Reform and Liquidity Management in Nigeria; Liquidity Management: a Comparative Analysis; Towards Improved Liquidity Management in Nigeria.