By 
The Central Bank of Nigeria (CBN) on March 23, 2021 retained the lending policy rate at 11.5 percent, saying the decision was made to ensure a balance between the need for price stability and growth.
This was obtained from the Monetary Policy Committee (MPC’s) latest report released by CBN Governor Godwin Emefiele, on Facebook.
Meanwhile, the decision was not unanimous as some committee members voted to increase the lending rate to check stagflationary pressure that has seen prices rise across sectors in the country.
The Asymmetric Window of +100 and -700 basis points around the Monetary Policy Rate (MPR) was also retained by the committee.
The CBN boss explained that Nigeria has not changed its Foreign Exchange Policy from a managed float regime
According to him, Deposit Money Banks (DMBs) receive weekly forex supply for tuition fees, medical payments and Basic Travel Allowance (BTA), among others.
Emefiele, however, noted that the CBN would create Complaint Desks to monitor disbursement.
Also, Reports showed that the CBN on Tuesday, January 26, retained the MPR at 11.5 percent. The Monetary Policy Committee (MPC) also retained the Cash Reserve Ratio and Liquidity Ratio at 27.5 percent and 30 percent respectively.
The asymmetric corridor of +100/-700 basis points around the MPR was also retained by the committee. The committee, however, expressed concerns of imminent challenges of servicing the country’s mounting debt liabilities.
This medium gathered that ten members of the committee that were in attendance said the adverse impact of insecurity on food production.
The MPC added that the current uptick in inflationary pressure could not be solely associated with monetary factors, but due mainly to legacy structural factors across the economy, including major supply bottlenecks across the country.
Comments