Your baby loves to spend time with you and enjoys the attention that you give him. When he has exhausted all the real stories of his life, he is willing to create new ones just to have an elongated time with you. At this age he also sometimes blurs up his real life with his imaginative life. This is a beautiful, creative age of your child which is to be enjoyed the most.
What you need to know
Children this age have a vivid imagination and they are using all their creativity to make up stories that are more interesting than the real life. Do note that your child is not lying; he is just creating interesting stories to make life more fun.