Despite the current recession, Nigeria CBN retain the lending monetary lending rate and it also known as the monetary policy rate, at 11.5 percent.
The country’s economy slipped into the second recession in five years, now, the CBN resolved to retain all monetary policy parameters without adjustments on Tuesday.
After the end of the meeting on Tuesday in Abuja, the conclusion is base on the monetary policy committee (MPC) said it opted to retain the lending rate, also known as the monetary policy rate (MPR) at 11.5 per cent, and the asymmetric corridor of +100/-700 basis points around the MPR.
Then, the committee agreed to maintain the cash reserve ration (CRR) at 27.5 percent and the liquidity ratio at 30 percent.
Godwin Emefiele, the governor of the Central Bank of Nigeria (CBN), said in a communique after the meeting that the committee to sustain the monetary policies through stimulus support with full recovery.
Another point is that, the stimulus package would involve fiscal measures to reduce unemployment, and make enabling environment for private sector investment and necessary support to the health sector, just to cushion the impact of the coronavirus pandemic.
However, CBN will continue to intervene in order to boost consumer spending and support the recovery.