The policy-setting committee of the Central Bank of Nigeria (CBN) has raised the monetary policy rate (MPR), which measures interest rate, from 17.5 percent to 18 percent.
CBN Governor, Godwin Emefiele, made the announcement on Tuesday, March 21, while reading the communiqué of the second MPC meeting.
He said the committee also pegged the liquidity ratio at thirty percent. The tightening of the rate according to the apex bank governor is expected to curtail inflation currently put at twenty-one percent.
This is the second time the apex bank will be raising the benchmark rate this year.
Recalled that few days ago the minister of finance Hajiua Zainam Ahmed had adviced that the incoming administration should increase the interest rate to 20%.
