CENTRAL BANKING AND MACROECONOMIC UNDERDEVELOPMENT PART 3

3.CENTRAL BANKING AND MACROECONOMIC UNDERDEVELOPMENT IN NIGERIA. Naira values in place of distributable dollar revenue,the apex bank had become the owners of the dollar balance" Then Les leba concluded"Thus the bigger the distributive dollar revenue,the bigger will the burden of huge naira allocations and excess liquidity and the greater also will be the challenges of inflation,cost of funds,rising natonal debt and a weaker naira.But guess what,the bigger the naira substitution,the bigger will also be"returns from CBN currency.You see that folly.sikena! The apex bank had over the years profited immensely from this self imposed revel of economic hardship,that it willingly plunged the nation into darkness.It has funded several looting of the treasury,over the last 30 or 40 years ranging from military to civilian administration using the method.Does it mean it has a claim to justify her whereof the so called"Autonomous reserves"to support the naira and serve as collateral to reduce the cost of foreign loans to government?How effective was it in practice in the face of constantly plummeting naira exchange rate inspite of increase in dollar revenue? The cost of foreign loans hasnt gone down abit still exceeds experiment indistressed economies elsewhere.It doesn't make sense for the federal government to go overseas to borrow money at outrageous cost when our CBN sits atop pools of billions of dollars of such risk free sovereign debt which exist outside the strategic control of ibikabram@gmal.cont.