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Bullion

Keywords

Flow of funds accounts, National accounts, Nigeria

Abstract

The describes the flow of funds system of accounts and also indicate its analytical uses including how a change in real activity has been financed, the forecasting of interest rates and the effects of economic policy changes. The major steps in the preparation of the accounts were outlined. ln particular, the author indicated that sectoring in FOF accounts is institutionally defined. Some of the basic data are available only after a considerable delay, e.g., national accounts figures, while others have to be estimated (households) leading to residual errors, Nevertheless, the flow of funds system serves as a useful instrument even of its present level of development in this country but full realisation of its potential depends on a big improvement in the collection and processing of basic data.

Author Bio

The author is a staff of the Central Bank of Nigeria.

Publication Title

CBN Bullion

Issue

3

Volume

15

COinS
 
 

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