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How Cbn Confronted The Meltdown: The Global Financial Crisis And The Central Bank Of Nigeria’S Response

Author

Listed:
  • EMRE OZSOZ

    (Center for International Policy Studies (CIPS), Fordham University 441 E. Fordham Road, Bronx, NY 10458, USA)

  • MUSTAPHA AKINKUNMI

    (Lagos State Government, Ministry of Finance, Ikeja, Lagos, Nigeria)

  • ISMAIL CAGRI AY

    (Department of International Trade and Marketing, Gediz University Seyrek, Izmir 35665, Turkey)

  • ADEMOLA BAMIDELE

    (Central Bank of Nigeria, PMB 0187 Garki, Abuja, Nigeria)

Abstract

This paper provides an analysis of policy responses to the Global Financial Crisis by the Central Bank of Nigeria (CBN). Given its unique position as a major commodity exporter with a large population, Nigerian authorities utilized a mixture of policies including reductions in the monetary policy rate and capital reserve requirement, lending through the expanded discount window, money market interbank transactions guaranty and limitations on deposit money banks’ (DMBs) foreign exchange net open positions. CBN also rolled over margin loans that were extended to equity investors. As a result the country weathered the financial crisis with limited damage and recorded positive growth rates between 2008 and 2010.

Suggested Citation

  • Emre Ozsoz & Mustapha Akinkunmi & Ismail Cagri Ay & Ademola Bamidele, 2017. "How Cbn Confronted The Meltdown: The Global Financial Crisis And The Central Bank Of Nigeria’S Response," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 62(01), pages 147-161, March.
    • Handle: RePEc:wsi:serxxx:v:62:y:2017:i:01:n:s0217590817400070
    DOI: 10.1142/S0217590817400070
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    References listed on IDEAS

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