Dear Esteemed Client:
The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) is currently holding its last monetary policy meeting for the year and will be announcing its decision on Tuesday 26th November, 2019. This crucial meeting is coming up at a time when the global and domestic economies have witnessed a number of interesting developments warranting considerations for the appropriate policy response.
At its last meeting in September 2019, the MPC retained all policy parameters after careful deliberations on the option to either ease or tighten; but chose to do nothing, holding Monetary Policy Rate (MPR) at 13.50%, retaining the Liquidity Ratio (LR) at 30.00%, and keeping the Cash Reserves Ratio (CRR) on deposits at 22.50%. In its overriding decision to hold in September, the Committee noted that it needed to understand the quantum of liquidity injection to the economy and also pathways to appraising the effects of heterodox monetary policy geared towards channeling credit delivery to the real sector before tweaking policy parameters. Read more