Effect Of Monetary Policy On Deposit Money Banks Performance In Nigeria

ABSTRACT

Monetary policy constitute the major policy thrust of the government in the realization of various macro-economic objectives. essentially, monetary policy refers to the combination of discretionary measures designed to regulate and control the money supply in an economy by the monetary authorities with a view of achieving stated or desired macro-economic goals. Monetary policy is designed to influence the behavior of the monetary sector. this is because changes in the behavior of the monetary sector influences various monetary variables or aggregate.;. in effect, monetary policy in force at any point in time, affect the level of money supply either by expanding it or through contraction. It also influences the level of and structure of interest rates and thus the cost of funds in the market, depending on the prev3iling economic conditions.