The Monetary Policy Committee (MPC) branch of the Central Bank of Nigeria (CBN) has again voted to retain the monetary policy rate at 11.5 percent.
This was disclosed in an announcement by the CBN Governor, Godwin Emefiele, at a press briefing at the CBN headquarters in Abuja on Tuesday.
The CBN Governor, while speaking further on the MPC’s decision at the end of the two-day rates decision meeting, said that the committee voted to leave the MPR at 11.5 percent, Cash Reserve Ratio at 27.5 percent, and Liquidity Ratio at 30 percent.
Emefiele explained that the decision was expected to give room for further economic growth, after the country exited recession in the fourth quarter of 2020, amid rising inflation.
The monetary committee also lamented the effect of insecurity on the economy of the country and urged the Federal Government to immediately deal with insecurity in order to successfully tackle inflation.
The MPC while commenting on the effect of the Coronavirus pandemic, advised against another total lockdown, adding that this will reverse most of the economic gains made in the country since the gradual reopening of the economy.
The MPC also noted that at least 70% percent of the population of Nigeria must be vaccinated if the country is serious in its struggle to achieve economic recovery.
On the CBN ban on cryptocurrency transactions in Nigerian banks, the governor of the apex bank insisted that the encrypted nature of cryptocurrency transactions made it hard for fraud to be investigated and criminals apprehended.
According to the CBN Governor, such transactions would never be supported by any responsible Central Bank in the world.
