THE EFFICIENCY AND EFFECTIVENESS OF GOVERNMENT AGENCIES IN THE IMPLEMENTATION OF FISCAL AND MONETARY POLICIES MEASURES
This research is conducted on the efficiency and effectiveness of government agencies in implementing the fiscal and monetary policy measure.
Government agencies in the context of this write up implies structures put in place to formulate and ensure the implementation of policy programmes for the realization of Macro economic objectives. This policy could be fiscal or monetary policies while the former is administered by the ministry of finance through some specialized agencies such as NCS, SBIR, FBIR etc. the latter is formulated by the Central Bank of Nigeria and implemented through banks and corporate bodies.
As the goal of the policy formulator is to curb inflation, reduce unemployment; stabilize prices, ensure economic growth and done all enhance the realization of a favourable balance of payment objective. The main objective of this study is to determine how these agencies have faired in the actualization of their policy dreams and targets. To achieve this, hypothesis were formulated and tested.
The findings revealed that the CBN is effective in implementing the monetary policy measure while other agencies under study are neither efficient nor effective. The research also studied the problems militating against the efficiency and effectiveness of these agencies in Nigeria. After a critical analysis of these problems aid the outcome of the findings, the researcher proffered recommendations with a view to finding a lasting solution to the problem.
1.0 BACKGROUND OF THE STUDY
Countries all over the world have organized agencies established in order to monitor and ensure stability in the economy. These agencies are provided with the necessary facilities with which to achieve this laudable objective. Their ability to achieve their desired goal depends on the level of development in that country. Record shows that the so called developed countries of the world have been able to achieve about 70% of the Macro economic objectives of full employment, price stability, favourable balance of payment among others.
This is because their agencies have succeeded in implementing their economic policy measures efficiently and effectively. The developing nations where Nigeria belongs are still below 50% in the actualization of the aforementioned objectives while the underdeveloped countries are still winking in the dark.
In Nigeria, the Central Bank of Nigeria, State Board of Internal Revenue, Nigeria customs Service and others are the agencies instituted to implement the policy measures for the attainment of macro economic objectives. These agencies have not totally succeeded in implementing the policy measures in the interest of the populace. This is attributable to the country’s state of development which affects the functioning of these agencies.
The Central Bank of Nigeria is at the forefront of the policy formulation. She assesses the economy with a view of identifying the economic problems. These problems are communicated to the Minister of Finance who in collaboration with the Apex bank determines how to resolve the identified problem.