Close Menu
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    SweetCrudeReportsSweetCrudeReports
    Subscribe
    • Home
    • Oil
    • Gas
    • Power
    • Solid Minerals
    • Labour
    • Financing
    • Freight
    • Community Development
    • E-Editions
    SweetCrudeReportsSweetCrudeReports
    Home » Monetary expert commends CBN for injecting N5.74trn into the system

    Monetary expert commends CBN for injecting N5.74trn into the system

    December 1, 2013
    Share
    Facebook Twitter LinkedIn WhatsApp

    Central-Bank-of-Nigeria-CBN01 December 2013, Lagos – Mr Wale Abe, the Executive Secretary of Financial Markets Dealers Association, FMDA, says the N5.74 trillion facility given banks by the CBN will help to reduce interest rates in the country.

    Abe made the observation in an interview on Friday in Lagos.He also said that availability of liquidity in the financial system would encourage Nigerians to borrow from banks at low interest rates.

    CBN injected the N5.74 trillion through Standing Lending Facility, SFL, to banks at 14 per cent interest rate.Abe said that the low interest rates would automatically boost economic and business activities.

    “Irrespective of the amount injected into the system, once there is an injection, it simply means that money will be readily available in the system for those who intend to borrow.

    “The rationale behind the injection is to bring down the interest rate so that people who intend to borrow can do business,” Abe said.

    Abe said that the CBN was managing liquidity in the system through injection and withdrawal of funds.

    He however, said that the CBN could at anytime mop up such injected funds from system if it perceived that there was excess liquidity.

    Abe pointed out that the CBN could also mop up excess liquidity so as not to distort price level stability and cause inflation in the country.

    “The CBN is always out to do the needy. The needy are that it injects money or withdraws money from the system.

    “That is part of the monetary responsibilities and function of the central bank to ensure price level stability,” he said.
    *NAN

    Related News

    Kwairanga reiterates NGX’s commitment to deepening Nigeria’s capital market

    African Union agency says Fitch’s downgrade of Afreximbank is ‘flawed’

    Indonesia eyes Nigeria for trade, investment expansion

    E-book
    Resilience Exhibition

    Latest News

    NDPHC launches 7.5MVA substation in Borno to boost power supply

    June 9, 2025

    Nigeria sends mining scholars to Australia for training

    June 9, 2025

    Shipping firms dodges $900m cost, as Nigeria hit by empty container glut

    June 9, 2025

    Military busts 27 illegal refineries in Rivers, Bayelsa, others

    June 9, 2025

    ‘OPEC oil output rises in May but compensation cuts limit hike’

    June 9, 2025
    Demo
    Facebook X (Twitter) Instagram
    • Opec Daily Basket
    • Oil
    • Power
    • Gas
    • Freight
    • Financing
    • Labour
    • Technology
    • Solid Mineral
    • Conferences/Seminars
    • Community Development
    • Nigerian Content Initiative
    • Niger-Delta Question
    • Insurance
    • Other News
    • Focus
    • Feedback
    • Hanging Out With Markson

    Subscribe for Updates

    Get the latest energy news from Sweetcrudereports.

    Please wait...
    Please enter all required fields Click to hide
    Correct invalid entries Click to hide
    © 2025 Sweetcrudereports.
    • About Us
    • Advertise with us
    • Privacy Policy

    Type above and press Enter to search. Press Esc to cancel.