TABLE OF CONTENT
TITLE PAGE
APPROVAL SHEET
DEDICATION
AKNOWLEDGEMENT
TABLE OF CONTENTÂ Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
CHAPTER ONE INTRODUCTION
- BACKGROUND OF THE STUDY
- STATEMENT OF THE PROBLEM
- OBJECTIVE OF THE STUDY
- SIGNIFICANCE OF THE STUDY
- SCOPE OF THE STUDY
- ORGANIZATION AND PLAN OF THE STUDY
CHAPTER TWO Â Â Â LITERATURE REVIEW
- MONETARY THEORIES
- PROCESS OF FORMULATION OF MONETARY
POLICY - THE ROLE OF MONETARY POLICY
- INSTRUMENT OF MONETARY POLICY
- TARGETS AND INDICATION OF MONETARY
- REFERENCES
CHAPTER THREE
CASE STUDY AND METHODOLOGY
- BRIEF HISTORY OF CENTRAL BANK OF
NIGERIA - RESEARCH METHODOLOGY
- SOURCES OF DATA COLLECTION
- METHOD OF DATA ANALYSIS
CHAPTER FOUR
DATA PRESENTATION
- REVIEW OF MONETARY POLICY IN NIGERIA
- MONETARY
POLICY OF YEAR 2001 FISCAL
YEAR - COMPARING
YEAR 2000 AND 2001 FISCAL YEAR
MONETARY POLICY
4.4 IMPACT OF MONETARY POLICY ON
NIGERIA
FINANCIAL SYSTEM
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
5. 1 SUMMARY
5.2 CONCLUSION
5.3 RECOMMENDATION
5.4 LIMITATION OF THE STUDY
5.5 BIBLIOGRAPHY
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The growing importance of the modern state at ensuring adequate provision for’ living and the need for economic growth in large part of the world have contributed to the entrance of the prestige of monetary policy as an important instrument of economic policy.
This write up will examine and explain various monetary policy instruments that have been used in Nigeria since the. inception of the Central Bank of Nigeria (C.B.N) which is the regulator^ body u6ecl by the Federal Government to regulate and control the money in circulation. The policies are designed in an attempt to change the trends of some monetary.
Variables in particular and directions so as to induce the desired behavioral change in the monetary sector.
Emphasis would be laid on how the monetary authorities used these polices in controlling some mayor macro-economic problems now rampant in our society.
One of the primary responsibilities of any government is to ensure that citizens attain” a high standard of living, the monetary policies consist of action taken by government to help in achieving economic objectives.
Some of these objectives are as follows
i. Full employment
ii. Rapid economic growth and development
iii. Price stability
iv. Equality in distribution of income
v. Stable foreign exchange rates
vi. Attainment of self reliance in the economy
vii. Correction of balance of payment deficit.
Any government whether a developed or a developing country economic objectives which might be economic growth so as to increase the wealth per head of the population or the prevention of loss or real output and the cost that result from the failure to maintain the economy at its full potential output level, the improvement of the functioning of the economy by restraining excess demand and inflationary price increase from imposing real cost on society and the restraint off any tendency of the economy towards a chronic balance of payments Disequilibrium.
Therefore, in an effort to achieve these objectives government have put in place a number of different policy tools such as monetary policy that is topic under discussion other policy tools are fiscal policy, credit policy, foreign trade policy and exchange rate policy.
The research work will also look into the instruments or weapons of monetary policies such as open market operations, interest rate, special deposit, reserve requirement, request and directives and finally given suggestions and recommendations on how these policies could be effectively used.
1.2 STATEMENT OF THE PROBLEM
Monetary policy has a major role to play in the Nigeria finance system and the economy in general.
To ensure efficient and effective growth in the economy. Monetary policy must be allowed to stay for a period of three to four year -to ensure stable economy growth and enhance the control of monetary in the money and capital market.
The monetary policy when not in good planning and control will contribute to the inflationary trend of the nation economic. Although the performance sheet of the economy shows that economy is on good track but inflation rate continues to gallop for instance during 1999 fiscal year the rate of inflation stood at 15 percent, in year 2000 its reduced again to 0.9 percent at present it as shoot up to 5.5 percent.
These have contributed to the poor economic growth, in stabilization in the market system, inequitable distribution of income. The above discussions shows that not allowing the monetary policy to last for longer period before introducing another current measure is a problem facing the economy of the country and also the regulatory body of the policy ought to take caution and exercise adequate economic skills aim at achieving the best for the country.
1.3 OBJECTIVE OF THE STUDY
The main objective of this study is to indemnify the importance and impact or to evaluate the role of monetary policy and its impact on the financial system.
And to examine critically the adequate of monetary policy in Nigeria and then relate the general theoretic-Âbackground and establish specific monetary policy indicated by the structure and character of Nigeria economy.
In addition, it will also examine the historical potency of contemporary monetary policy in the changing economic circumstances of Nigeria growing effort and possible prefer suggestions.
