TUE, FEB 27 2024-theGBJournal| The Central Bank of Nigeria (CBN) says he is anticipating favorable outcomes in the short to medium term given the ongoing reforms within the foreign exchange market.
He made the comment during his maiden Monetary Policy Committee (MPC) briefing in Abuja on Tuesday where he announced jumbo hike in interest rates.
The Monetary Policy Rate (MPR) was tightened by the Committee, seeing a 400 basis point increase to 22.75%.
Additionally, adjustments was made to the asymmetric corridor around the MPR, now standing at +100/-700 bps. The Cash Reserve Requirement (CRR) has been raised from 32.5% to 45%, while the Liquidity ratio remains at 30% around the MPR.
At the briefing the Governor also emphasized the importance of collaboration with the fiscal sector to ensure the effective functioning of various sectors within the economy, and reiterated the Bank’s stance on withdrawing from quasi-fiscal interventions in the agricultural sector and disclosed plans for loan recovery under intervention programs.
He equally highlighted a shift towards a more stringent regulatory environment.
Regarding recent actions against Bureau de Change operators, the Governor clarified that these were aimed at unlicensed operators and curbing speculation. Expressing optimism, Governor Cardoso underscored stability in the Nigerian Foreign Exchange Market (NFEM), reaffirming the commitment to uphold trust.
Governor Olayemi Cardoso assured that the CBN would address all pending verified requests promptly.
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