Nigeria is poised for a potential interest rate hike as the Central Bank of Nigeria’s Monetary Policy Committee (MPC) convenes today, 26th February, in Abuja. The two-day session, scheduled for 26th and 27th February, marks the first meeting since the appointment of CBN Governor Olayemi Cardoso in September last year.
The previous MPC gathering took place in July 2023 under the former acting CBN governor, Mr. Folashodun Shonubi, during which the country’s interest rate stood at 18.75 percent. In the face of soaring inflation hitting 29.90 percent in January this year, the MPC is expected to consider raising the monetary policy rate to combat the escalating inflation rate.
CEO of the Financial Derivatives Company, Bismarck Rewane, anticipates a potential interest rate tightening of at least 200 basis points during the MPC meeting. Additionally, President Bola Ahmed Tinubu established an economic advisory committee comprising Nigeria’s business leaders on Sunday to address the nation’s economic challenges.
