CBN retains benchmark rate at 11.5%

24 Nov CBN retains benchmark rate at 11.5%

The Central Bank of Nigeria, CBN, has retained the monetary policy rate (MPR) at 11.5 per cent, with the asymmetric corridor of +100/-700 basis points around the MPR.

The CBN Governor, Godwin Emefiele, announced on Tuesday after the Monetary Policy Committee meeting that the MPC also retained other parameters, adding that its policy has begun to show results.

Mr Emefiele made reference to the 4.03% growth in real GDP and the 6th consecutive monthly decline in headline inflation. He also mentioned the continued moderation in the headline inflation, occasioned by a marginal decline in the food and core components of the inflation index.

The economic outlook shows a continuous rebound in growth, amid relative stability in the price of crude oil in the international market, the bank said. The bank also said it remained optimistic about inflation rates in the coming months.

The MPC also explained the need to remain cautious, calling on the fiscal authority to sustain interventions that would stimulate economic growth.

As part of its decision, the Cash Reserve Ratio (CRR) was retained at 27.5%, while the liquidity ratio was also kept at 30%.