The role of the Central Bank of Nigeria as banker to the Government.

Abstract

Section 2 (d) of the Central Bank of Nigeria Decree 1991 provided that one of the principal functions of the Bank shall be to "act as banker and financial adviser to the Federal Government". The 1958 Central Bank Act and amendments also contained provisions to this effect. This cardinal statutory responsibility has been performed by the Bank since its inception. As banker to the Federal Government of Nigeria, the Bank maintains accounts not only for the Federal Government but also for all the State Governments, the Abuja Federal Capital Territory as well as Federal and State ministries and quasi-government institutions. This paper is structured in three parts: Part I treats the role of the Bank in the maintenance of bank accounts, part II contains the Bank's role in the management of domestic public debt of the Federal Government. while Part Ill concludes the paper.