Money Market Instruments and Price Stability in Nigeria: 1981 - 2021

: The study examined money market instruments and price stability in Nigeria. The study specific objectives include to investigate the relationship between treasury bills, treasury certificates, development loans stock, bankers’ acceptance, commercial papers and federal government of Nigeria bonds on consumer price index in Nigeria. The study adopted purposive sampling technique and the sample size consist time series data from 1981 to 2021. The study used secondary data obtained from Central Bank of Nigeria (CBN) statistical bulletin and National Bureau of Statistics (NBS) and the data were analysed using univariate, bivariate and multivariate analysis. The findings from the error correction model indicated that treasury bills negatively and insignificantly influence consumer price index in Nigeria; treasury certificates positively and significantly influence consumer price index in Nigeria; development stocks positively and significantly affects consumer price index in Nigeria; certificates of deposits positively and insignificantly influence consumer price index in Nigeria; commercial papers negatively and insignificantly influence consumer price index in Nigeria; bankers’ acceptance positively and significantly influence consumer price index in Nigeria and federal Government of Nigeria bonds positively and insignificantly impact on consumer price index in Nigeria. On the basis of the findings, the study concludes that money market instruments on the short and long run affects price stability in Nigeria. Hence, the study recommends amongst others that government should established effective and efficient stabilization policies and quality of public sector governance that would ensure that prices of goods and services and money market instruments are stable for sustainable economic growth of Nigeria.


INTRODUCTION
The relevance of money market instruments on price stability is currently at the foundation of monetary policy debates in developed and developing nations. According to Pavtar (2016), money market is a critical element of any given financial markets because it contributes to the economic growth and development process of nations. Nzotta (2014) state that the money market is a market which consists of structures designed for obtaining and mobilizing short term funds or exchanging financial assets representing short term claims. Okezie (2012) argued that money market is a market that deals with short term instruments that are readily convertible into cash and whose maturity range between a few days and two years. Appah and Tebepah (2017) described money market as all the facilities used for the purchase and sale of money for intermediate and deferred delivery and for the borrowing and lending of money for short periods of time. Nwonye et al (2020) noted that money market assists in the liquidity management of banks' as well as the transfer of monetary policies by providing appropriate financial instruments for liquidity intermediation. Umason (2018) underscored the significance of money market to both the government and business organisations as money market instruments supports in accomplishing government shortterm decrease in revenue through sales of financial instruments such as treasury bills, treasury certificates, development stock, certificates of deposits, commercial papers, bankers' acceptance etc. Also businesses gain from money market by making it possible to invest surplus liquidity and source shortage of liquidity, while to the monetary authority money market as a device for the attainment of monetary policy objective such as price stability (Onodugo et al, 2018).
Price stability in an economy suggests constant price level over a period of time. The European Central Bank (2020) suggested that price stability advances price mechanism transparency thus contributing to growth and development in the economy. The Central Bank of Nigeria (2012) indicated that price stability is beneficial to the economy by promoting high standard of living, reduces uncertainty about general price development, reduces inflation premium risk, supports to avoid unnecessary hedging activities, increases the benefit of holding cash, averts the arbitrary distribution of wealth and income, supports financial stability etc (Bank -Ola et al, 2020). Uche et al (2023) stated that price stability of money market instruments is very significant to the Nigerian economy because their outcomes are used to make financial decisions spontaneously. Umason (2018) maintains that an understanding of the transmission of money market instruments to price stability and other macroeconomic variables is a key for the monetary authorities to conduct effective and efficient monetary policy. Uche et al (2023) opines that the monetary policy objective of price stability can be blemished if the policy does not match with other fiscal measures in the economy. The authors further noted that it becomes vital to investigate monetary policy transmission such as the money market instruments and its effect on price stability in emerging nation like Nigeria.

Concept of Money Market Instruments:
Money market is a component of financial market for short term investible fund where short term financial instruments or liquid assets with maturity of within one year are traded. Its major significance is that it is the machinery for the mobilization of short-term financial resources for economic growth. Investment that promotes liquidity and gives immediate income requires short term funding with maturity of within one year (Anowor & Nwanji, 2018). Nzotta (2014) state that the money market is a market which consists of structures designed for obtaining and mobilizing short term funds or exchanging financial assets representing short term claims. Okezie (2012) argued that money market is a market that deals with short term instruments that are readily convertible into cash and whose maturity range between a few days and two years. Appah and Tebepah (2017) described money market as all the facilities used for the purchase and sale of money for intermediate and deferred delivery and for the borrowing and lending of money for short periods of time. Nwonye et al (2020) noted that money market assists in the liquidity management of banks' as well as the transfer of monetary policies by providing appropriate financial instruments for liquidity intermediation. Umason (2018) underscored the significance of money market to both the government and business organisations as money market instruments supports in accomplishing government short-term decrease in revenue through sales of financial instruments such as treasury bills, treasury certificates, development stock, certificates of deposits, commercial papers, bankers' acceptance etc. Also businesses gain from money market by making it possible to invest surplus liquidity and source shortage of liquidity, while to the monetary authority money market as a device for the attainment of monetary policy objective such as price stability (Onodugo et al, 2018). Also, money markets allows the refinancing of short and medium-term to ease and moderate business liquidity and risk (Iwedi & Igbanibo, 2015); and control of money supply and demand-pull inflation, determination of short-run interest rate (Obi, 2021).
Money markets instruments are short term debt claims that are readily marketable or convertible into cash (Appah & Tebepah, 2017).These instruments serves as a buffer which banks rely on in time of cash crunch. According to Ndugbu et al (2016), money market instruments are made possible through the use of credit instruments of high quality such as treasury bills, treasury certificates, Bankers acceptance, commercial papers, eligible development funds, certificates of deposits etc. Treasury Bills: These are money market instruments issued by the Federal Government of Nigeria to borrow funds for short periods of about three months pending the collection of its revenues. They are sold at a discount and mature within 91 days of the date of issue and are default free (Appah & Tebepah, 2017;Eze & Mansi, 2017). Treasury Certificate: This is a medium term government security which matures after a period of one to two years and are intended to bridge the gap between treasury bill and long term government securities. According to Nzotta (2014), treasury certificate plays a major role in the development of the money market. Development Stock: These are fairly long term debt instruments issued by the Central Bank of Nigeria on behalf of the Federal Government. Certificate of Deposit: These are interbank debt instruments meant to provide outlet for commercial bank's surplus funds (Appah & Tebepah, 2017). Eze and Mansi (2017) noted that certificate of deposits are transferable investment instrument in the money market. Commercial Papers: These are short term unsecured promissory notes issued by a company with a high credit standing. These papers are subscribed by banks and the funds generated are used by the issuing company to finance working capital requirements (Appah & Tebepah, 2017). Bankers Acceptance: This is a written order drawn by an individual or firm upon a bank ordering the bank to pay a sum of money on a specified date in the future (Nzotta, 2014). Federal Government Bonds: This is an investment mechanism available by the Sovereign that will assist to attain the investment wishes of low-high income citizens in the economy by improving our savings culture whilst also performing as inefficient and efficient debt management structure for monetary management.

Concept of Price Stability:
Price stability is when money preserves their value over time or their speed depreciation of purchasing power is very relaxed. It is the aggregate price level measured by consumer price index, gross national product deflator and produce price index (Nzotta, 2014;Appah & Tebepah, 2017). Bandoi et al (2009) argued that price stability performs a twin role in modern central banking. The authors further stated that price stability is both an end and a means of monetary policy. Basically, price stability conserves the reliability and purchasing power of the country's money. Ezirim (2012) opined that when prices are stable, individuals can hold money for transactions and other objectives without having to worry that inflation will reduce the real value of their money balances. Appah and Tebepah (2017) argued that stable prices permits individuals to depend on the naira as a measure of value when making long-term contracts, engaging in long-term planning, or borrowing or lending for long periods. Bandoi et al (2009) suggested that price stability encourages efficiency and long-term growth by ensuring a financial environment in which economic decisions canbe made and money markets can function without distress about the volatile and variations in the purchasing power of money. This study utilized consumer price index as a measure of price stability. Nzotta (2014) noted that consumer price index is a measure of the value of money that examines the average changes in the cost of a fixed or constant market basket of a fixed number of consumer goods and services purchased by urban wage earners.

Theoretical Review
This study anchored on the financial intermediation theory. This theory was advanced by the studies conducted by Goldsmith (1969); Mckinnon (1973); Senbet and Otchere (2005) that viewed money markets as an essential factor in the economic advancement as nations due to the differences in economic growth across nations as aresult of the services rendered by financial institutions. McKinnon (1973) opined that there is a complimentarily between money and physical capital which is replicated in the demand for money. The author further noted that the complimentarity connects the demand for money unswervingly and clearly with the process of physical capital accumulation as a result of the conditions of money supply have a first order influence on decision to save and invest. Also, Shaw (1973) suggested a debt intermediation theory, whereby prolonged financial intermediation between the savers and investors causing financial liberalization and development that increases the incentive to save and invest, stimulates investments because of an increase in the supply of credit, and promotes the average efficiency of investment. Obi (2021) stressed the significance of free entry into and competition within the money market as conditions for effective financial intermediation.

Empirical Review
There are numerous prior empirical studies on the association between money market instruments and price stability in developed and developing countries. Some of these investigations are reviewed below with a view to observe the trends of the findings and the gaps in literature. Uche et al (2023) investigated money market instruments and price stability in Nigeria from 1990 to 2021.The study employed secondary data from the Central Bank of Nigeria statistical bulletin and econometric models for the analysis of data. The dependent variable price stability consisted of consumer price index and GDP deflator while the independent variable money market instruments consisted of treasury bills, discount windows, mutual funds and risk premium lending rate. The data collected from the secondary sources were analysed using descriptive statistics, correlation matrix, stationarity test, error correction model, CUSUM, CUSUMSQ and ARDL long run bound test. The findings indicated money market instruments negatively and significantly affect the long run relationship with consumer price index while money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. Okoyan and Eze (2021) investigated money market instruments and capital market performance in Nigeria from 1981 to 2018. The study used correlation research design and secondary data from the Central Bank of Nigeria for the period under review. The secondary data collected were analysed using Johansen cointegration, and Vector error correction model. The results disclosed that treasury bills (TB), and commercial paper (CP) showed negative relationship with capital market performance in Nigeria.
Bank -Ola et al (2020) studied monetary policy and price stability in Nigeria from 1986 to 2019.The study employed correlational research design and time series data were collected from the Central Bank of Nigeria statistical bulletin and world development indicators. The independent variable of monetary policy were measured with cash reserve ratio, liquidity ratio, exchange rate, money supply and import of goods and services while the dependent variable price stability were proxied using consumer price index. The secondary data were analysed using descriptive statistics, unit root tests, diagnostic tests, VAR Lag Order selection, ADRL bound test for cointegration. The analysis of the data disclosed that cash reserve ratio positively and significantly affects consumer price index (price stability) while liquidity ratio, exchange rate and money supply negatively and insignificantly influences consumer price index (price stability) and import of goods and services positively and insignificantly influences consumer price index (price stability) in Nigeria. Akarara and Edoumiekumo, (2018) conducted a study of money market instruments and economic growth in Nigeria. The study applied ex post facto research design and data were collected from the Central Bank of Nigeria for the period under review. The secondary data collected from the CBN were analysed using Autoregressive Distributed Lag (ARDL) Bound Testing Approach to Cointegration to analyse the relationship between money market instrument and economic growth of the Nigerian economy. The independent variables consisted of certificate of deposit (COD), commercial paper (CPR), broad money supply (M2G), and treasury certificate (TRC) while economic growth used real gross domestic products (GDPR) as dependent variable. The econometric analysis indicated a long run relationship between money market instruments and economic growth in Nigeria. Eze and Mansi (2017) carried out an investigation into the causality between money market instrument and economic growth in Nigeria from 1990 to 2014. The study employed ex post facto research design and time series data were sourced from the Central Bank of Nigeria statistical bulletin and the data collected from the secondary sources were anaysed using descriptive statistics, unit root test, unit root test, ordinary least square, parsimonious error correction and pairwise granger causality analysis. The independent variable of money market instrument consisted of treasury bills, treasury certificates, certificates of deposits, and banker's acceptances while dependent variable of economic growth used gross domestic product. The results indicated that an insignificant relationship between treasury bills treasury certificates and economic growth; a significant relationship between certificate of deposit and bankers acceptance on economic growth in Nigeria.

METHODOLOGY
This study of money market instruments and price stability employed both ex post facto and correlational research designs while the sample size of data for the study was attained through purposive sampling technique. The sample size consists of yearly time series data from 1981 to 2021. Data were obtained from Central Bank of Nigeria (CBN) statistical bulletin and National Bureau of Statistics (NBS). The secondary data obtained were analysed using univariate, bivariate and multivariate analysis. Table 1 below shows the variables used in the study.

Source: Desk Research 2023
This study is guided by the linear model below: Acceptance; FGB = Federal Government of Nigeria Bond; ß0 -ß6 are the coefficients of the regression, while e is the error term capturing other explanatory variables not explicitly included in the model. The p value shows what is the smallest level at which we would be able to accept the null hypotheses of a test. We used a 5% level of significance; hence we conclude that the coefficient is significantly different from zero at the 5% level if the p-values is less than or equal to 0.05. If it is greater than 0.05 then we cannot reject the null hypothesis that the coefficient is actually zero at our 5% significance level.

RESULTS AND DISCUSSIONS
This section is designed to enable the researcher to present the secondary data collected from the expose-facto work and the results obtained are analyse with the help of e-view 12. in addition, the researcher also provided a conclusive discussion of the results and establishing necessary inferences and implications based on the impact of money market instruments and price stability in Nigeria from (1981 to 2021).

Descriptive Statistic (Univariate Analysis)
Univariate analysis is a basic kind of analytical technique for statistical data. However, the data contains just one variable and does not have to deal with the relationship of a cause and effect. The main objective of the unvariate analysis is to describe the data in order to find out the patterns in the data. This is done by looking at the mean, median, standard deviation, Skewness, Kurtosis. Jargue-Bera and Probability etc.  Furthermore, the table above disclosed that all of the variables are positively skewed, which means that the right tail of their distributions will always be longer and include more extreme values than the sample mean. Also, the kurtosis values of 4. 189, 3.688, 14.5070, 3.363, 4.485 and 4.657 showed that all the variables (TR, COD, CMP, BAA, FGB and CPI) was leptokurtic and looked different from a normal distribution because they have has a kurtosis value that is greater than 3, which indicates that the distributions will have a greater number of values that are higher than the sample mean value. But the kurtosis values of 2.616 and 1.479 indicated that these two variables (TRB & DVS) was a platykurtic value which is less than the kurtosis value of (3). Finally, the Probability of the Jarque-Bera stat for TRB, TRC, COD, CMP, BAA, FGB and CPI was 0.021, 0.000, 0.000, 0.000, 0.005, 0.000 and 0.000, implying that they were not normally distributed while only DVS value of 0.125 were normally distributed, hence, the researcher need to carry out a normality and diagnostics test to confirm the normality of the variables before further estimation.

Unit Root Test
One of the requirements of time series analysis regression approach is that the variables of interest must be stationary. Also, one of the requirement in the multiple regression procedure is that there must be no I(2) or more variables involved. Therefore, to test the ordered integration or time series properties of the selected variables in this study, we employed ADF and PP unit root tests. Table  3 below shows the results of the tests.

Source: Author's Computation using E-Views, 12
The stationarity properties of the data were examined using the Augmented Dickey-Fuller unit root tests and Phillips-Perron unit root test. From table 3 above, FGB and CPI were stationary at level using ADF unit root test while TRB, TRC, DVS, CMP and BAA variables were not stationary at levels using ADF unit root test, hence they were converted to 1 st difference after which TRB, TRC, DVS, CMP and BAA were stationary at 1 st difference while COD were stationary at 2 nd difference. Furthermore, the table also indicates that, CPI were stationary at level using PP unit root test while TRB, TRC, DVS, COD, CMP and BAA variables were not stationary at levels using PP unit root test, hence they were converted to 1 st difference after which they were stationary at 1 st difference while FGB were stationary at 2 nd difference.

Bivariate (Correlation) Analysis
It is imperative to test the strength of the research questions after completing the univariate analyses. Thus, this section of the study is concerned with the determining the relationship strength of the formulated hypotheses in 1-10. To effectively carry out the testing of the hypotheses, Everitt and Dunn (2001) was adopted as a guide to determine the R-value and the extent of the relationship between the variables.

Diagnostic Test Results
The following sections discuss the results of the diagnostic tests that were conducted to ensure whether the data fits the basic assumptions of the classical Error Correction Model and Granger Causality Test. The implication of the test, limits therein, test results and their discussion are also presented.

Normality Test
The normality test was conducted to establish whether the observed values follow a normal distribution. The Residual histogram normality test was used to establish whether The figure 1 above disclosed diagnostic test using normality test of residuals histograms as criteria for decision. The result indicates that the skeweness value is positive implies that the model has long right tail, the kurtosis value is greater than 3 that is clearly mesokurtic and finally, Jarque-Beta probability value were 0.103 which is greater than 0.05 and this means that that the residuals are normally distributed hence Error Correction Model and Granger Causality Test model can be estimated.

Heteroskedasticity Test
Test for heteroskedasticity was conducted to test whether the residuals were constant. The study conducted the White test and Breusch-Pagan-Godfrey test for heteroskedasticity was conducted to test whether the residuals were constant. The null hypothesis for the test is that the residuals are homoskedastic which should be shown by a P-value of more than 0.05. The results of the test are presented in Table.   The result from table 7 shows the estimated coefficient of the ECT-1 is -0.4058. The error correction term is the short-run estimate and has a negative significant value of (0.4058). This means that the error correction term is the speed of adjustment correcting back the shock at the rate of 40.05 percent annually. This means that a 40.05% gap between long-run equilibrium value and the actual value of the dependent variable (CPI) has been corrected. The negative sign signifies the existence of cointegration among the variables. The R-squared adjusted of 0.6822 (68%) shows that money market instruments variables can jointly affect about 68% of changes in price stability of Nigeria. The F-statistics probability value of 0.049 shows that, the model is statistically significant.
Furthermore, the results of the short run model are reported in the above table indicates a negative and insignificant short run relationship between treasury bills (TRB) and consumer price index (CPI). A 1% increase in TRB leads to 0.3% increase in CPI. Treasury certificates (TRC) has a significant positive impact on consumer price index (CPI) which implies that a 1% increase in TRC will lead to 63.9% unit increase on CPI. Development stocks (DVS) has a significant positive impact on consumer price index (CPI) which implies that a 1% increase in TRC will lead to 93.8% unit increase on CPI. Certificates of deposits (COD) has an insignificant positive impact on consumer price index (CPI) which implies that a 1% increase in COD will lead to 3.2% unit increase on CPI. Commercial papers (CMP) has an insignificant negative impact on consumer price index (CPI) which implies that a 1% increase in CMP will lead to 4.3% unit decrease on CPI. Bankers acceptance (BAA) has a significant positive impact on consumer price index (CPI) which implies that a 1% increase in BAA will lead to 13.4% unit increase on CPI. And finally, federal government of Nigeria bonds (FGB) has an insignificant positive impact on consumer price index (CPI) which implies that a 1% increase in COD will lead to 0.0% unit increase on CPI. does causality the consumer price index in Nigeria but consumer price does not causality the treasury certificates in Nigeria which led to the rejection of the null hypothesis based on the Pvalue (0.0018). Thirdly, the result revealed that development stocks does causality the consumer price index in Nigeria but consumer price does not causality the development stocks in Nigeria which led to the rejection of the null hypothesis based on the P-value (0.0032). Fourthly, the result revealed that certificates of deposits does not causality the consumer price index in Nigeria likewise consumer price does not causality the certificates of deposits in Nigeria which led to the acceptance of the null hypothesis based on the P-value (0.6578). Fifthly, the result revealed that commercial papers does not causality the consumer price index in Nigeria likewise consumer price does not causality the commercial papers in Nigeria which led to the acceptance of the null hypothesis based on the P-value (0.5762). Sixthly, the result revealed that bankers' acceptance does causality the consumer price index in Nigeria but consumer price does not causality the bankers acceptance in Nigeria which led to the rejection of the null hypothesis based on the Pvalue (0.0430). Finally, the result revealed that federal government of Nigeria bonds does not causality the consumer price index in Nigeria but consumer price does causality the federal government of Nigeria bonds in Nigeria which led to the acceptance of the null hypothesis based on the P-value (0.5189).

Treasury Bills and Price Stability
The findings from the empirical analysis indicated that treasury bills negatively and insignificantly impact on price stability (consumer price index) in Nigeria. The findings from the research concur with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index while the results disagree with the study of Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Treasury Certificates and Price Stability
The results from the empirical analysis revealed that treasury certificates positively and significantly impact on price stability (consumer price index) in Nigeria. The result from the study agrees with (Faith et al. 2020;Kimberly 2022;Umanson 2018;and Uruakpa 2019). Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. Whereas the study disagree with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Development Stock and Price Stability
The evidence from the empirical analysis disclosed that development stocks positively and significantly impact on price stability (consumer price index) in Nigeria. The result from the study agrees with Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. Whereas the study disagree with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Certificate of Deposit and Price Stability
The findings from the empirical evidence showed that certificates of deposits positively and insignificantly impact on price stability (consumer price index) in Nigeria. The result from the study agrees with Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. Whereas the study disagree with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Commercial papers and Price Stability
The findings from the empirical analysis indicated that commercial papers negatively and insignificantly impact on price stability (consumer price index) in Nigeria. The findings from the research concur with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index while the results disagree with the study of Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Bankers Acceptance and Price Stability
The results from the empirical evidence revealed that bankers acceptance positively and significantly impact on price stability (consumer price index) in Nigeria. The result from the study agrees with Uche et al (2023) (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Federal Government of Nigeria Bonds and Price Stability
The findings from the empirical evidence revealed that federal Government of Nigeria bonds positively and insignificantly impact on price index (consumer price index) in Nigeria. The result from the study concurs with Uche et al (2023) that money market instruments positively and significantly affects the long run relationship with GDP-deflator in Nigeria. Whereas the study disagree with Uche et al (2023) that money market instruments negatively and significantly affect the long run relationship with consumer price index. The studies of Faith et al. (2020) established a positive association between money market instruments and economic growth and Eze and Ayunku (2017) indicated that money market significantly impact on the Nigerian economy using parsimonious error correction. These diverse results were as a result of poor regulatory quality, poor level of good governance, and high corruption which distorts monetary policy, fiscal policy and other economic policies of government which in turn affects the prices of goods and services in Nigeria.

Summary, Conclusion and Recommendations
The study investigated the relationship between money market instruments and price stability in Nigeria for the periods of 1981 to 2021. Previous studies were reviewed on money market instruments and prices stability and the study employed, correlation matrix, diagnostic test, error correction model and granger causality test in order to ascertain the relationship between the short run and long run on the independent and dependent variable. Money market instruments were proxied with treasury bills, treasury certificate, development stock, certificate of deposit, commercial papers, and bankers' acceptance while price stability was measured consumer price index. The findings from the analysis indicated that treasury bills has a negative and insignificant impact on consumer price index in Nigeria; treasury certificates has a positive and significant impact on consumer price index in Nigeria; development stocks has a positive and significant impact on consumer price index in Nigeria; certificates of deposits has a positive and insignificant impact on consumer price index in Nigeria; commercial papers has a negative and insignificant impact on consumer price index in Nigeria; bankers acceptance has a positive and significant impact on consumer price index in Nigeria and finally, federal Government of Nigeria bonds has positive and insignificant impact on consumer price index in Nigeria. From the result, the study concludes a short run and long run relationship between money market instruments and price stability in Nigeria. Based on these findings and conclusions, the following recommendations are made: 1.
The government should improve on the quality of governance to ensure that prices of goods and services and monetary instruments are stabilized.

2.
The Nigerian government should improve on the fight against corruption in the country to stabilize the prices of goods and services in the country. 3.
The stakeholders in the financial sector should improve on strategies that would improve policies and strategic reforms to encourage the use of money market instruments by financial institutions for price stabilization. 4.
Money market instruments policies and reforms by regulatory authorities should be suitably integrated as these instruments have showed to influence meaningfully on financial institutions performance and price stabilization.

5.
The government should create a friendly investment environment by concerned government and regulatory agencies. This will further deepen the popularity of money market instruments and subsequently create market for those instrument(s) that relate mixed findings on price stability.

6.
Government should both in short and long-run prioritized policies geared towards increasing/developing money markets operations in Nigeria in order to make the economy more stable.

7.
The cost of raising funds in the money market in Nigeria is regarded to be very high. Hence, there should be a reduction of the cost so as to improve competitiveness and attractiveness as a major source of raising funds.