The Central Bank of Nigeria (CBN) governor, Godwin Emefiele, has announced that the Monetary Policy Committee(MPC) voted to raise its Monetary Policy Rate (MPR) to 14%. The committee voted to raise the MPR by 200 basis point in a move which shocked many analysts who projected that the apex bank would hold MPR at 12%.

According to the governor, 8 out of the 10 members of the committee were in attendance at this month’s MPC meeting, of this number, 5 voted to raise MPR while 3 voted to maintain status quo.

MPC however retained Cash Reserve Ratio (CRR) at 22.5%, while Liquidity Ratio and the asymmetric corridor remain at 30% and +200-500 basis point respectively.
Emefiele said sluggish growth in the global economy, the Brexit vote, as well as weak growth in the United States all contributed to curtail expectation of global financial prosperity.
Faced with an environment of rising inflation, the MPC was faced with the twin goals of either voting to restart growth or fighting inflation, Emefiele said.

According to the CBN governor, the Committee is concerned about the need to urgently diversify the economy into agriculture, manufacturing, and services in order to rise above its current state. “The Committee expresses satisfaction with banks with regards to credit to the private sector, and encourages commercial banks to keep up the tempo, so as to grow the economy,” Emefiele said.

MPC members call on the Federal Government to fast track the implementation of the 2016 budget and drew attention to the depressing implication of non-payment of salaries.

http://businessdayonline.com/monetary-policy-committee-raises-mpr-to-14-2/ lalasticlala, dominique, Mynd44, davide470, Truth234

Who MPR epp?

These guys dont know how to gamble at all......

Trading the naira has become the only profitable business with a lot of large players favouring the odds against the naira. Obviously they have their facts, but at some point it has become a open party where the lines have been blurred.

Unfortunately i think inflation at 16% is still not real, on the street it feels more like 20% plus. nothing has changed this market.

davide470:
Who MPR epp?

You?

Everything is good under buhari

Wtf
I pity banks

Is this Good news or bad news??

na wa o...CBN n policies b like 5&6

What's its effect on Dollar/Naira rate, garri, PMS and Kilishi

Somebody sai baba
somebody sai baba



some people should have put their eggs in one basket o.

Buhari is incapable of running this country, he should resign!

What is MPR abeq
na e b wettin dey make dollar raise?

What is MPR? How does it affect d hike in price of kerosene and garri?

So will 14% make life easier for us?

Make I pitch my tent here, the economy is hard!...

Them go avoid this thread like plague. Olodos. No wonder buhari see dem scam

My God. Interest rate would increase. [color=#000099][/color]
Buhari = Badluck

Policy! Policy!! Policy!!! ...... No positive impact... all dumb ass

dollar don rise again

The worst thing about this CBN is that nobody understands them.

Its funny that no known universal monetary and economic policy works in Nigeria!

However, indigenous economic theory of Nigeria unique economy is what economists should seek for. The MPR been raised to 14% will definitely accelerate the rate of inflation to be above 20%.

From all angles we are in a long poo!

#thankstoPMB

Nigeria will be great again.

Please guys check my signature

What this whole MPR things means is that they have increased interest rate on borrowed funds from banks to 14% from 12%.

xana101:
My God. Interest rate would increase. [color=#000099][/color]
Buhari = Badluck

i guess u rili knw wat mpr is. im impressed dat u knw.. we all shud just expect interest rate to go high

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So sad

Who no know go know.

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The only way to make big money in Nigeria now is export business. This is why export of agro based allied products are liable.

tradeplusib:
These guys dont know how to gamble at all......

Trading the naira has become the only profitable business with a lot of large players favouring the odds against the naira. Obviously they have their facts, but at some point it has become a open party where the lines have been blurred.

Unfortunately i think inflation at 16% is still not real, on the street it feels more like 20% plus. nothing has changed this market.

This is no longer an inflation but hyperinflation. => 87.3% increase within 1 Yr ?.

Kvv