CBN retains all parameters, holds interest rate at 11.5%

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The Monetary Policy Committee of the Central Bank of Nigeria (CBN) has voted unanimously to retain the benchmark interest rate at 11.5%, whilst keeping all other monetary parameters constant.

This was disclosed by the CBN Governor, Godwin Emefiele, while reading the communique at the end of the 282nd Monetary Policy Committee meeting on Tuesday.

Emefiele explained that the committee’s policy over the previous months has begun to show results, owing to the 4.03% growth in real GDP and the 6th consecutive monthly decline in headline inflation.

According to Emefiele, the committee voted to maintain the key lending rate at 11.5 percent, with the asymmetric corridor of +100 and -700 basis points around the MPR and liquidity ratio at 30 percent.

“The existing monetary stance is supposedly growth recovery and should be allowed to continue for a little longer for consolidation to achieve the MPC mandate of conducive growth,” Emefiele said.

He said the committee commended the output growth in the last two quarters and urged the apex bank to continue to sustain current efforts to revamp the economy through various interventions.

The committee also reiterated the need to remain cautious and called on the fiscal authority to sustain interventions that would normalise the country’s economy in the short to medium term.




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