Central Bank of Nigeria and Nigerian Economy in the 21st Century


  • Lucky Ogbomo Osagioduwa
  • Ogudo Oakihena Solomon
  • Oloye Fumilayo


This study investigated the extent to which the CBN conventions roles and monetary and fiscal policies formulated are adequate in scope and content towards addressing the Nigerian 21st century economic challenges. The research was conducted in two states in Nigeria, namely Delta, and Edo States respectively. Primary data were gotten through Five Likert Scale (SA, A, U, D, SD). A total of ninety-nine (99) copies of questionnaire where administered to junior and senior staff working in CBN Asaba and Benin branches from a study population of two hundred and fifty-four (254) and eighty-seven (87) was recovered. Qouta Random Technique (QRT) was adopted in the study. The hypotheses were tested employing the Pearson Product Moment Coefficient Correlation (PPMCC) and the Kendall's tau-b Coefficient Correlation (KBCC). The result of the analysis revealed that there is negative statistical relationship between the conventional CBN activities (roles) and improvement in Nigeria 21st century economy, it was also discovered that there is significant positive relationship (.991 and .990 respectively) between 21st century oriented policy formulations by the CBN and growth in the Nigerian 21st century economy. It was realized from the study that attainment of the CBN cardinal role (financial and exchange rate stability) would result in 21st century economic growth by 0.1percent. The study therefore recommends that the CBN should formulate 21st century problems addressing fiscal and monetary policies in Nigeria. The policies should be strategic and Nigeria base without any repetition of the monetary and fiscal policies in existence in advanced nations being that the Nigerian 21st century economy dilemma is different.


Abdul-Khaliq. S., Soufan, T., & Shihab, R. A. (2014). The relationship between unemployment and economic growth rate in Arab Country. Journal of Economics and Sustainable Development. 5(9), 56-59.

Abioye, O. (2017). Banks borrow N671bn from CBN in five days, Retrieved online from https://punchng.com/banks-borrow-n671bn-from-cbn-in-fivedays

Adenikinju, A., Busari, D., & Olofin, S. (nd). Applied econometrics and macro econometric modelling in Nigeria (161-194). Ibadan: Ibadan University Press.

Adewole, S. (2021). Nigeria still running 18th century economy. Punch newspaper 14th November 2021.

Ajayi, E. A., (nd). The challenges of the year 2000 and beyond for Central banks. Economic & financlal review 37.(4), 37-51.

Ajayi, M. (2006). “Banking sector reforms and banking consolidation: conceptual framework”,Bullion, 29(2), 60-74.

Akeju, K. F., & Olanipekun, D. B. (2014). Unemployment and economic growth in Nigeria. Journal of Economics and Sustainable Development, 5(4), pp. 138-144.

Akhalumeh. P. B. and Ohiokha, F. (2012). “Nigeria’s cashless economy: the Imperatives”, International Journal of Management and Business Studies, 2(2), 31-36.

Alanana, O.O. (2003). Youth unemployment in Nigeria: some implications for the third millennium. Global Journal of Social Sciences, 2(1), pp. 21-26.

Alexandre, I. & Amfalu.S. I., (1994). Central Ba11king in Transition: 1994 Per Jacobson Lecture. June 8.

Amassoma, D. & Nwosu, P.I. (2013). The impact of unemployment rate on productivity growth in Nigeria: an error correction modeling approach. International Journal of Economics and Management Sciences, 2(08), pp. 01-13.

Andolfatto, D. (2021). Assessing the impact of central bank digital currency on private banks. The Economic Journal, 131(634), 525-540.

Babalola, S.J.; Saka, J.O. & Adenuga, I.A. (2013). The validity of Okun’s law in Nigeria: a difference model approach. Asian Economic and Financial Review, 3(12), pp. 1598-1608.

Bamidele, O.A. (2004), Globalization: African’s Triple Dilemma, The State, Democratization and the Challenges of Globalization. New Jersey: Farleigh Dickson University Press.

Barontini, C., & Holden, H. (2019). Proceeding with caution-a survey on central bank digital currency. Proceeding with Caution-A Survey on Central Bank Digital Currency (January 8, 2019). BIS Paper, (101).

Bhattarai, K. (2016). Unemployment–inflation trade-offs in OECD countries. Economic Modelling, pp. 58, 93–103.

Bordo, M. D., & Levin, A. T. (2017). Central bank digital currency and the future of monetary policy (No. w23711). National Bureau of Economic Research.

Boyo, H., (2017). Is Emefiele‟s promise of under 10% inflation rate credible?, Opinion Nigeria. Available online at http://www.opinionnigeria.com/isemefieles- promise-of-under-10-inflation-rate - credible-by-henry-boyo/#sthash.KMZ9hWqX.dpbs, retrieved 12th February, 2018

Central Bank of Nigeria, (2012). “Toward a cashless Nigeria: Tool and strategies”, retrieved challenges”, Journal of Economics and Sustainable Development, 3(14), 128-133.

Central Bank of Nigeria. (2010). Global Financial Crisis Impact in Nigeria: Nigerian Financial Reforms and the Roles of Multilateral Development Bank and IMF. Retrieved 20 March 2017,from,http://financialservices.house.gov/media/file/hearings/111/sanusi111610. pdf

Davoodalhosseini, S. M. (2021). Central bank digital currency and monetary policy. Journal of Economic Dynamics and Control, 104150.

Doguwa S. I. & Essien S. N. (2013). The role of central bank of Nigeria’s analytical balance sheet and monetary survey in monetary policy implementation. CBN Journal of Applied Statistics 4.(1), 119-138.

Donwa, P., and Odia, J. (2011): Effects of the Consolidation of the Banking Industry on the Nigerian Capital Market. Kamla-Raj, J Economics, 2(1).

Ejikeme, J.N. (2014). Unemployment and Poverty in Nigeria: A Link to National Insecurity. Global Journal of Politics and Law Research, 2(1), 19-35.

Ejikeme, J.N. (2014). Unemployment and Poverty in Nigeria: A Link to National Insecurity. Global Journal of Politics and Law Research, Vol. 2, No. 1, 19-35.

Ekrame, B.; Dramane, C. & Christophe, R. (2012). Immigration, growth and unemployment: panel VAR evidence from OECD Countries. IZA Discussion Paper, No. 6966.

Engert, W., & Fung, B. S. C. (2017). Central bank digital currency: Motivations and implications (No. 2017-16). Bank of Canada Staff Discussion Paper.

Fadayomi, T.O. (1992). Migration development and urban policies in Sub Saharan Africa, Ibadan: Codesria Book Series.

Feridun, M & Akindele, S.T. (2006). The crux of the matter, in Nigerian Economy: essays on economic development ed. (Feridun and Akindele), Munich Personal RePEC Archive. MPRA, pp. 1-13.

Feridun, M & Akindele, S.T. (2006). The crux of the matter, in Nigerian Economy: essays on Forest Copit, Char/t s Goodhart, Nobtrt Schnadt, The Dei•tlopmtnt of Central Banking, op.cit. from www.ncs.org.ng/wpcontent/uploads/2012/08/cashless2012-4.pdf.

Future Outlook. International Journal of Academic Accounting, Finance & Management Research (IJAAFMR). Vol. 3, (1), 23-43. Available from www.ijeais.org/ijaafmr

Holden, S. & Sparman, V. (2013). Do government purchases affect unemployment?. http://folk.uio.no/sholden/wp/fiscal-u.pdf.

Laoye, J. (2011). “Benefits of cashless economy by experts” retrieved from http://www.zumalist.com.

Madito, O. & Khumalo, J. (2014). Economic growth - unemployment nexus in South Africa: VECM Approach. Mediterranean Journal of Social Sciences. 5(20), 79-84.

Mohammed, K. Chapola, D .& Ashiru, B.(2013). The state of nigerian economy in the 21st century; privatization and commercialization programmes under obasanjo/atiku regime. European Scientific Journal 9(19), 88-98

Muhammad, S. (2014). Effect of inflation and unemployment on economic growth in Pakistan. Journal of Economics and Sustainable Development. 5(15), 103-106.

Muhammad, S.A.; Oye, N.D. & Inuwa I. (2011). Unemployment in Nigeria: implication on the gross domestic product (GDP) over the years. Int. J. ECO. RES, 2(1), 66-71.

Náñez Alonso, S. L., Jorge-Vazquez, J., & Reier Forradellas, R. F. (2021). Central Banks Digital Currency: Detection of Optimal Countries for the Implementation of a CBDC and the Implication for Payment Industry Open Innovation. Journal of Open Innovation: Technology, Market, and Complexity, 7(1), 72.

Odior, S. E. and Banuso, B. F. (2012). “Cashless banking in Nigeria: challenges, benefits and policy implication”, European Scientific Journal, Vol.8 (12), retrieved from eujournal.org/index.php/esj/article/view/192.

Ogochukwu C. O. & Oluseun P. (2019). The Central Bank of Nigeria: History, Current Operations and

Ogochukwu, C. O., & Oluseun, P. (2019). The Central Bank of Nigeria: History, Current Operations and Future Outlook. International Journal of Academic Accounting, Finance & Management Research (IJAAFMR).3(1), 23-43. Available from www.ijeais.org/ijaafmr.

Okey, O. O. (2012). “The Central Bank of Nigeria’s cashless policy in Nigeria: Benefits and

Okun, A.M. (1962). Potential GNP: Its measurement and significance, American Statistical Association, Proceedings of the Business and Economics Statistics Section, pp. 98–104.

Olawunmi, O. & Adedayo, E. L. (2017). Unemployment and economic growth in Nigeria in the 21st century: var approach. AUDOE, 13 (5), 155-168.

Olubusoye, E. O., & Oyaromade, R. (2009). Modelling the dynamics of inflation in Nigeria. In

Onimode, B.O. (2004). “Self Reliant Strategies for National Development Vol.1, 25th Annual Conference of the Nigerian Economic Society”, Benin Pp. 42 – 45.

Onodugo, I. C., Benjamin, A. A, & Nwuba, B. N. (2015). Diversification of the economy: A panacea for Nigerian economic development. International Journal of Multidisciplinary Research and Development. 2,(5), 477-483.

Osagioduwa, L. O. (2022). Assessment of challenges of public auditors independence and report in the public sector of Nigerian. Amity journal of management research. 5(1), 70-87.

Osagioduwa, L. O., Ojiakor, I., Esenobor. E. T., & Odiachi. L. (2022). Fraud scheme and fraudulent accountant prosecution. International Journal of Academic Research in Business and Social Science.12(1), 1143-1169.

Osagioduwa, L. O. (2019a). The effectiveness of the whistle blowing policy in combating corruption in the Nigerian public sector. Global Journal of Arts Humanities and Social Science. 7 (10), 77-98.

Osagioduwa, L. O., & Ohidoa, T. (2020, January). Corruption Detection and Exposure, an Expected Role of Public Auditors: A Case of the Nigerian Public Sector. A. O. Oladipupo (chair). 1st international conference of the Faculty of Management Science of the University of Benin, Edo State Nigeria.

Osagioduwa, L., O. (2019b). Treasury single account effectiveness on corruption control and public organizations efficient administration in Nigeria. International Journal of Management Studies and Social Science Research. 1(5), 1-19.

Osazevbaru, H. O. & Yomere, G. O. (2015). Benefits and challenges of Nigeria’s cash-less policy. Kuwait Chapter of Arabian Journal of Business and Management Review 4(9), 1-10.

Ozili, P. K. (2019). Blockchain finance: Questions regulators ask. In Disruptive innovation in business and finance in the digital world. Emerald Publishing Limited.

Ozili, P. K. (2021a). A Survey of Central Bank Digital Currency Adoption in African countries. Working Paper

Ozili, P. K. (2021b). Central bank digital currency can lead to the collapse of cryptocurrency. Available at SSRN 3850826.

Ozili, P. K. (2021c). Central bank digital currency in Nigeria: opportunities and risks. This paper was presented at the 5th International Applied Social Sciences Congress (C-IASOS – 2021) on October 07-09, 2021.

Phillips, A.W. (1958). The relationship between unemployment and the rate of change of money wages in the United Kingdom 1861-1957. Economica, 25(100) 283–299.

Sadiku, M.; Ibraimi, A. & Sadiku, L. (2015). Econometric Estimation of the Relationship between Unemployment Rate and Economic Growth of FYR of Macedonia. Procedia Economics and Finance, pp. 19, 69 – 81.

Sanusi, L.S., (2012): Banking Reforms and its Impact on the Nigerian Economy. Being a lecture delivered at the University of Warwick’s Economic Summit, UK on 17th February, 2012.

Seid, A.A. (2000), African Position in World Economy. New York: Mary Knoll.

Shonubi, A. (2012). “Towards a Cashless Nigeria: Tool and Strategies; Business Implications”, A presentation at the Nigeria Computer Society 24th National Conference, Abuja, July 25.

Uka, E.M. (2004), “Impact of Globalization on the third world Economy: A Gospel Response” A paper Presented at the International conference on Global Economy and Pastoral care and Counseling and Religious Traditions at Bangalore, India (August 8-15 2004-1-10).

Umoh P.N. (1999). A Decade of Deposit Insurance in Nigeria: Issues and Challenges, Lagos, NDIC.

Yaqub, J.O., Bello, H. T., Adenuga, I. A. and Ogundeji, M. O. (2013). “The Cashless policy in Nigeria: prospect and challenges” International Journal of Humanities and Social Science, 3(3): 200-212.