Review of Monetary and Fiscal Policies in the Nigeria Economy

Review of Monetary and Fiscal Policies in the Nigeria Economy

The Central bank of Nigeria (CBN) started with effect from 2002 fiscal year, adopt a medium term perspective monetary policy framework. Unlike earlier program which where designed for one year, the new programmes is for a two year period beginning January 2002 to December 2003. the shift is in recognition of the fact that monetary policy actions affect the ultimate objectives of policy with a substantial lag. Thus, the current shift will free monetary policy implementation from the problem of time inconsistency and minimize over reaction due to temporary shock. [Read more…]