The Monetary Policy Committee of the Central Bank of Nigeria has again retained the Monetary Policy Rate at 11.5 per cent.
It also retained the Cash Reserve Ratio and Liquidity Ratio at 27.5 per cent and 30 per cent respectively.
The CBN Governor, Godwin Emefiele, made the disclosure after the committee’s two-day meeting in Abuja on Tuesday.
Emefiele explained that members of the MPC were of the view that given that the exit of the country from recession was fragile, any decision to tighten may reverse the fragile recovery and return the country back to recession.
According to him, the concession among the MPC members was that given that the inflation was substantially a supply side factor, there was need to continue to focus on consolidation of recovery process by taking those actions that would continue to stimulate output growth and create employment.
The governor stressed the importance of keeping an eye on efforts to moderate inflationary pressure using the current administrative measures being adopted by the bank in controlling monetary aggregates in the banking system.