The Central Bank of Nigeria’s Monetary Policy Committee has decided to retain the country’s benchmark interest rate at 14 percent.
The CBN also decided to leave the existing cash reserve ratios for commercial banks at 22.5 percent and the Liquidity Ratio at 30 per cent. Asymmetry Corridor is maintained at +200 and -500 basis point.
This is the fifth time in a row the CBN has decided to leave all rates at the same level.
The CBN’s decision comes on the same day the country’s Bureau of Statistics disclosed that the country is still in a recession.
According to data from the country’s Bureau of Statistics, the nation’s Gross Domestic Product (GDP) in the first quarter of 2017 contracted by 0.52% (year-on-year).
This is the fifth consecutive quarter the economy has contracted.
However, during the quarter, aggregate GDP stood at N26 million in nominal terms, compared to N22 million in Q1 2016.
This resulted in a Nominal GDP growth of 17.06%.