Fiscal Policy Remains Loose as ECA Retreats to $5.8bn 

Samir Gadio, analysts with Standard Bank, London said the central bank also faces a considerably loose federally consolidated fiscal stance, as illustrated by the marginal balance of the ECA (USD5.8bn in June), a position set to deteriorate further ahead of the 2015 elections, with the po- tential to weigh negatively on macroeconomic stability. This in fact increases the risk that the CRR on public sector funds may be raised fur- ther (ultimately even up to 100%), which would achieve the objectives of the single treasury ac- count reform through the backdoor.

One Response to Fiscal Policy Remains Loose as ECA Retreats to $5.8bn 

  1. admin says:

    It could only be worse as 2015 elections approach.

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