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This study examined the determinants of bank liquidity in Nigeria. The indicators investigated are non-performing loan, net interest margin, cash reserve ratio, monetary policy rate and capital adequacy ratio. Thirteen (13) banks listed in the Nigerian
Exchange limited were investigated. Data for the study were collected from annual report of the listed banks, the Central Bank of Nigerian statistical bulletin for the period 2010 to 2021. The difference generalised method of moment was applied on dynamic model to e indicators on bank liquidity. The E-view 9.0 computer software was used for the analysis. This study found that cash reserve ratio, monetary policy rate and capital adequacy ratio are significant determinants of bank liquidity in Nigeria, and recommends bank managers should pay devoted attention to monetary policy regulatory instruments especially cash reserve ratio and monetary policy rate because of their effect on bank liquidity. Also, that bank managers should ensure they have adequate capital because high capital is a potential booster of bank liquidity
Exchange limited were investigated. Data for the study were collected from annual report of the listed banks, the Central Bank of Nigerian statistical bulletin for the period 2010 to 2021. The difference generalised method of moment was applied on dynamic model to e indicators on bank liquidity. The E-view 9.0 computer software was used for the analysis. This study found that cash reserve ratio, monetary policy rate and capital adequacy ratio are significant determinants of bank liquidity in Nigeria, and recommends bank managers should pay devoted attention to monetary policy regulatory instruments especially cash reserve ratio and monetary policy rate because of their effect on bank liquidity. Also, that bank managers should ensure they have adequate capital because high capital is a potential booster of bank liquidity
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