CBN to tame inflation, cut interest rate - Emefiele

The Central Bank of Nigeria (CBN) will continue to explore further avenues to ensure that interest rates are supportive of domestic production needs.

These were the assurances of the CBN Governor, Godwin Emefiele, in his opening remark at the 24th seminar for business and finance correspondents holding in Awka, Anambra State, yesterday.

Emefiele said: “The bank will continually fine-tune measures to ensure and guarantee a stable exchange rate regime.

“With on-going recovery in economic performance, I am hugely optimistic that improved outcomes will be recorded in our work towards taming inflation, bringing down interest rates and guaranteeing exchange rate stability.”

The assurance of the apex bank governor is coming ahead of the Monetary Policy Committee Meeting which is billed to hold next Tuesday.

There have been calls, largely from manufacturers, for reduction in MPC rate, to unlock more finance for the reel sector of the economy, which is believed will help expand production and job creation.

In line with some experts’ opinion, the previous MPC had held the rate at 14 per cent, with the overriding argument that a reduction may unlock more money in the economy, which will then go after the scarce foreign exchange and end up reversing the gains made in that respect.

Emefiele who was represented by the Acting Director, Corporate Communication, further said, the bank has consistently sought to formulate interest and exchange rate policies that are conducive to the development of domestic private industrial activities, while taking due cognizance of other macroeconomic variables.