The Monetary Policy Committee (MPC), of the Central Bank of Nigeria (CBN), has voted to retain the Monetary Policy Rate (MPR) at 11.5% as the apex bank kept other parameters the same.
The New Diplomat understands that the MPR is the interest rate at which CBN lends to the commercial banks.
The MPR is also the benchmark against which other lending rates in the economy are pegged and is usually used as an instrument to moderate inflation in the economy.
CBN Governor, Godwin Emefiele revealed the new rates, while reading the communique at the end of the MPC meeting on Tuesday 23rd March 2021.
The Committee kept the asymmetric corridor at +100/-700 basis points around the MPR; CRR was retained at 27.5% while Liquidity Ratio was also kept at 30%.
The MPC made the decision after considering the domestic and external macroeconomic concerns in the country vis-a-vis the financial markets.
