The Nigerian Central Bank, CBN at its monthly monetary policy committee meeting has retained interest rate at 14%.
Providing a rationale for its decision, the MPC said the Committee assessed the relevant risks to the global and domestic economy and concluded that the risks to the economy remained highly elevated on two fronts (price and output).
However, considering the importance of price stability, and being mindful of the limitations of monetary policy in influencing output and employment under conditions of stagflation, the Committeedecided unanimously in favour of retaining the current stance of monetary policy, thus keeping the MPR at 14.0 per cent alongside all other policy parameters.
In summary, all 10 MPC members voted to:
(i). Retain the MPR at 14 per cent;
(ii). Retain the CRR at 22.5 per cent;
(iii). Retain the Liquidity Ratio at 30.00 per cent; and
(iv). Retain the Asymmetric Window at +200 and -500 basis points