The Central Bank of Nigeria has retained the policy rate at 11.5 per cent despite the country’s three-year high inflation.
CBN governor, Godwin Emefiele who made the announcement on Tuesday March 23 after the Monetary Policy Committee meeting that began on Monday March 23, said the decision was taken to ensure a balance between the need for price stability and growth.
According to Emefiele, six members voted to maintain all parameters while three voted to increase the MPR.
Other parameters that were retained include the Cash Reserve Requirement (CRR) at 27.5 per cent, Liquidity Ratio at 30 percent and the asymmetric corridor( margin around the MPR) at +100/-700 basis points around the MPR.
Commercial banks were also urged to maintain easy access to loans to increase the economic output.