MPC Meeting To Hold Earlier Than Scheduled, Says CBN

A file photo of CBN Governor, Mr Godwin Emefiele.

 

 

The Central Bank of Nigeria (CBN) has rescheduled the Monetary Policy Committee (MPC) meeting for the month of September.

Mr Isaac Okorafor, the Director of Corporate Communications at the apex bank announced this in a statement on Tuesday.

The announcement came a day after the CBN announced that the meeting would hold on September 23 and 24.

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In the statement released today, Mr Okorafor disclosed that the MPC meeting has been brought forward to September 19 and 20.

He, however, did not give any reason for the bank’s decision.

Read the full statement below:

This is to inform all our stakeholders and the general public that the Monetary Policy Committee (MPC) meeting No. 269, earlier scheduled for Monday, September 23 and Tuesday, September 24, 2019, will now hold on Thursday, September 19 and Friday, September 20, 2019.

All inconveniences caused by this change are highly regretted.

Isaac Okorafor

Director, Corporate Communications

CBN Fixes April 3, 4 For MPC Meeting

CBN Orders Banks With Huge Bad Loans To Stop Paying Dividends

 

The Central Bank of Nigeria (CBN) has fixed April 3 and 4, 2018 for the country’s first Monetary Policy Committee meeting.

The apex bank fixed the date following the concession made by the Senate to screen and confirm the nominees of President Muhammadu Buhari to fill the posts of deputy governors of the CBN and the four members-designate of the Monetary Policy Committee.

The MPC was unable to hold its first meeting last January because it could not form a quorum, due to the Senate’s refusal to confirm the nominees sent by the President to the National Assembly.

However, due to the importance of the MPC meetings to the economy, the Senate reconsidered its stance last week on the CBN nominees and gave its Committee on Banking and Financial Institutions one week to screen them.

MPC Leaves All Rates Unchanged

Godwin-Emefiele-Governor-of-Central-Bank-NigeriaThe Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) has retained all key indicators.

The CBN Governor, Mr Godwin Emefiele, on Tuesday read the communique announcing decisions reached at its September meeting in the nation’s capital, Abuja.

The committee agreed to keep the Monetary Policy Rate at 14 per cent, the Cash Reserve Ratio at 22.50 per cent and the Liquidity Ratio at 30 per cent.

Mr Emefiele explained that while challenges in the economy remain, monetary policy alone cannot boost growth. “Cutting interest rates is not advisable and the current stance will help to limit inflation,” he said.

“The committee assessed the relevant risks and concluded that the economy continued to face elevated risks on both price and output fronts.

“However, given its primary mandate and considering its limitations of its instruments with respect to output, the committee elected to retain the restrictive stance of policy invoked at its last meeting where it raised the Monetary Policy Rate from 12 to 14 per cent.

MPC-LEAVES-RATES-UNCHANGED

“Conscious of the need to allow this and other measures like the foreign exchange reforms to work truthfully, it decided to retain all monetary policy instrument at their current levels,” the apex bank boss stated.

He said that all 10 Monetary Policy Committee members voted to retain the MPR at 14 per cent, retain the CRR at 22.5 per cent, retain the Liquidity Ratio at 30 per cent and retain the asymmetric window at +200 and -500 basis points around the MPR.

The Minister of Finance had expected that the committee would lower key interest rates.

Kemi adeosun, recession, Finance Minister, CBN

Speaking on Channels Television earlier in the day, Mrs Kemi Adeosun said that this would help stimulate the economy, especially as the government plans to boost the economy without increasing debt servicing costs.

At the last committee meeting in July, the benchmark Monetary Policy Rate was raised from 12 per cent, to 14 per cent, while the Cash Reserve Ratio and Liquidity Ratio were both retained, at 22.50 per cent and 30 per cent each.

Nigeria is currently in a recession after official data from the National Bureau of Statistic showed that its Gross Domestic Product (GDP) contracted by 2.06 percent in the second quarter, sending Africa’s biggest economy into a recession after a decline in the first quarter.

MPC Meeting Begins In Abuja

MPC Meeting, MPC, CBN, Anchor Borrowers Scheme, 683 FarmersThe Central Bank of Nigeria’s Monetary Policy Committee 2-day rate setting meeting begins on Monday in the nation’s capital city, Abuja.

It is the most anticipated meeting as it comes at a time the country is deep in recession following disappointing data from the National Bureau of Statistics.

The committee is expected to focus on the state of the Nigerian economy, and decide on key monetary policy parameters.

When the committee held its last meeting in July, headline inflation was at 16.5 percent but that has since increased to 17.6 percent in August.

In the light of severe and growing macroeconomic headwinds, the committee would once again be required to make tough decisions amidst limited policy options.

The CBN Governor, Mr Godwin Emefiele is expected to announce the outcome of the meeting on Tuesday, September 20.

MPC Meeting: Currency Traders Optimistic About Naira Value

Naira, dollar, Market FX marketCurrency traders expect a mixed performance for the Naira ahead of next week’s meeting of the Central Bank of Nigeria’s Monetary Policy Committee.

The Naira appreciated to 306 naira 33 kobo against the Dollar on Wednesday and 416 naira 19 kobo to the Pound but weakened to 365 naira 38 kobo against the Euro on the interbank platform.

At the parallel market the local unit also firmed to 423 to the Dollar and 550 to the British Pound while it traded flat at 470 to the Euro.

MPC Raises Monetary Policy Rate To 12%

MPCThe Monetary Policy Committee (MPC) of the Central Bank of Nigeria has raised the Monetary Policy Rate (MPR) to 12% from 11%.

This is an outcome of its 2-day meeting which started on Monday in Abuja, the nation’s capital; the second for the year 2016.

At the last meeting in January, the MPC maintained the monetary policy rate, the cash reserve requirement, and the liquidity ratio at 11%, 20% and 30% respectively.

The Governor of the central bank said that the key decisions taking by the regulator were part of measures for achieving fiscal and financial stability.

Access Bank Releases Outlook On MPC Meeting

Access BankOne of Nigeria’s tier-one listed commercial lender, Access Bank has released its outlook on the two-day monetary policy meeting of the Central Bank.

The bank expects the committee to retain the headline interest rate at 11% and leave the lending corridor of plus 200 basis points and minus 700 basis points unchanged.

Analysts at Access Bank believe the financial regulator will continue to tolerate above 9% inflation target in a bid to keep monetary conditions relatively loose in support of the economy.

Access Bank sees the cash reserve ratio and liquidity ratio left unchanged and anticipates no change in the foreign exchange policy position of the Central Bank.

The 249th meeting of the Monetary Policy Committee kicks off on Monday in Abuja, the nation’s capital.

Economic and financial analysts believe the volatility of the Naira at the foreign exchange market and the double-digit inflation recorded in February would top the agenda at the two-day meeting.

At the last meeting in January, the MPC maintained the monetary policy rate, the cash reserve requirement, and the liquidity ratio at 11%, 20%, and 30% respectively.

The outcome of the meeting will be announced on Tuesday, March 22,2016.

 

MPC Meeting Begins Next Week

MPC meetingThe Monetary Policy Committee of the Central Bank of Nigeria will hold its second meeting for the year next week.

At the two-day meeting, market watchers expect the increase in the February inflation rate and the issues surrounding the foreign exchange market to top the agenda.

They are also of the opinion that an increase in key rates and adjustment in the exchange rate may reduce speculative demand for foreign exchange.

At the last meeting in January, the MPC maintained the monetary policy rate, the cash reserve requirement, and the liquidity ratio at 11%, 20% and 30% respectively.

The outcome of the MPC meeting will be announced on Tuesday, March 22, 2016.

CBN Raises Concerns Over Economy’s Partial Dollarisation

CBN Governor, Mr Godwin Emefiele
CBN Governor, Mr Godwin Emefiele

The Central Bank of Nigeria (CBN) Governor, Mr Godwin Emefiele, has raised concerns over the partial dollarisation of the nation’s currency and called on commercial banks in the country to take appropriate measures to check the trend.

Responding to questions from reporters after the Monetary Policy Committee meeting in Abuja, Mr Emefiele said that the apex bank may also be left with no option than to clamp down on the activities of Nigerians who insist on doing transactions with foreign currencies.

He, however, expressed optimism that the naira would rebound after the elections.

Meanwhile, the Monetary Policy Committee meeting left the interest rate unchanged at 13% while ‎liquidity ratio was pegged at 30%.