Evolution Of Central Bank

Question 1

____ are referred to as dealers in debt?

Answer 1

Financial institutions

Question 2

_____ types of financial institutions?

Answer 2

Banking and non banking financial institutions

Question 3

_____non-banking financial institutions include?

Answer 3

Insurance companies, building societies and hire purchase companies

Question 4

What is the essence of central bank?

Answer 4

Discretionary control of the monetary system

Question 5

The CB possesses _____ in the issuance of legal tender in a country?

Answer 5

Monopoly

Question 6

Central bank carries out its most important function of ________________ ?

Answer 6

Formulating and executing monetary policy

Question 7

Before the central bank was established in __________, there was ________ which was established in ____________

Answer 7

July 1st 1959 and WACB 1912

Question 8

The low economic development in Nigeria under the WACB was attributed to?

Answer 8

The board being designed to serve the purpose of our colonial masters

Question 9

The WACB Was responsible for?

Answer 9

The provision, issuance and re-issuance of the west Africa pound notes and coins

Question 10

The desirability for a Central Bank in Nigeria in the early 50’s led to what ?

Answer 10

The appointment of a committee to survey the necessity of a central bank in NG

Question 11

_______ submitted its report in 1957

Answer 11

JB Loyne’s commission

Question 12

______ submitted its report in 1953

Answer 12

JB fisher’s commissions

Question 13

The World Bank’s Mission submitted its report when?

Answer 13

In 1955

Question 14

Out of the three reports, which was in favour of the establishment of the CBN?

Answer 14

JB loynes

Question 15

JB loynes was?

Answer 15

The adviser to the Bank of England

Question 16

When was the central bank act promulgated?

Answer 16

17th march 1958

Question 17

When did the cbn become fully operational?

Answer 17

1st July 1959

Question 18

The CBN was established by what act?

Answer 18

The CBN act of 1958

Question 19

What is the latest CBN act?

Answer 19

CBN act of 1958

Question 20

Where’s the CBN headquarters located?

Answer 20

Abuja

Question 21

Who is the current CBN governor?

Answer 21

Mr Olayemi Michael Cardoso

Question 22

Who was the former CBN governor?

Answer 22

Godwin Emefiele

Question 23

The latest CBN act charges the CBN with what responsibility?

Answer 23

Overall control and administration of all monetary and financial sector policies of the federal government

Question 24

How many times has the CBN act been amended?

Answer 24

5

Question 25

What are the types of CBN Deputy Goverors?

Answer 25

Deputy Gov of: Operations, financial system stability, economic policy and corporate services

Question 26

The CBN has how many departments?

Answer 26

29

Question 27

The CBN is under the supervision of?

Answer 27

The Ministry of finance

Question 28

How many branches does the CBN have?

Answer 28

36

Question 29

What reserves does the CBN manage or maintain?

Answer 29

Foreign Exchange and Gold

Question 30

The CBN Works hand in hand with __________ to manage the debt of Nigeria?

Answer 30

Ministry Of Finance

Question 31

What section of the latest CBN act are the objectives spelt out?

Answer 31

Section 4

Question 32

According to the latest CBN act, what are the objectives?

Answer 32

Issue currency of the economy Maintenance of external reserves of Nigeria Provide financial advisory services to the government Act as a banker to the government Develop and Control the Nigerian Financial system

Question 33

How many departments does the CBN have?

Answer 33

29

Question 34

How does the central bank exert control over commercial banks in Nigeria?

Answer 34

Through the Monetary Policy Instruments

Question 35

______ is the opposite of Moral suasion?

Answer 35

Directive

Question 36

______ is a compulsory instruction by the central bank to the commercial bank to follow some monetary policies?

Answer 36

Directives

Question 37

The appeal for moral suasion is ______?

Answer 37

Gentle and Persuasive

Question 38

_______ occurs when the central bank uses a gentle approach to make commercial banks follow some policies

Answer 38

Moral suasion

Question 39

Bank rate is the rate which __________ charge on loans to __________?

Answer 39

Central banks / commercial banks

Question 40

An increase in bank rate would Lead to?

Answer 40

An increase in market rate I.e the rate at which commercial banks charge on loans

Question 41

Another name for cash ratio is?

Answer 41

Cash reserves

Question 42

A decrease and increase in cash ratio would have what effects?

Answer 42

Increase - would reduce the lending capability of commercial banks Decrease- opposite

Question 43

______ refers to the buying and selling of securities in the open market?

Answer 43

OMO

Question 44

Commercial banks are owned and managed by who?

Answer 44

Owned by shareholders Managed by the board of directors appointed by the shareholders

Question 45

The central bank acts as a _______ between the commercial banks and the government