BusinessEconomyCBN Retains Benchmark Interest Rate At 11.5%

ABUJA — The monetary policy committee of the Central Bank of Nigeria (CBN) has decided to maintain the monetary policy rate (MPR), which measures interest rate, at 11.5 percent.

Godwin Emefiele, the apex bank chairman announced the decision of the committee while addressing Journalists on Tuesday after the two-day meeting with the committee members at the CBN headquarters in Abuja.

According to the governor, the committee voted to maintain the current MPR to ensure economic growth and recovery.

The monetary policy rate (MPR) is the baseline interest rate in an economy, every other interest rate used within an economy is built on the MPR.

Emefiele noted that the committee retained the key lending rate at which stands 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.

Beloved John (Staff Writer)

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