The Central Bank of Nigeria on Tuesday advised the Federal Government to rev up its implementation of the 2018 budget as a strategic fiscal option of sustaining the nation’s economic recovery trajection.
This is even as the Monetary Policy Committee of the Central Bank of Nigeria at the end of its two-day meeting in Abuja retained the key rates, leaving the Monetary Policy Rate (MPR) at 14 percent and the Cash Retention Ratio (CRR) at 30 per cent.
Briefing the media on the key decisions taken at the meeting, the CBN Governor, Godwin Emefiele, said that the committee’s advice to the government on the budget became imperative in the face of macro and microeconomic indices of the economy and the need to ensure sustainable growth.
Emefiele explained that seven members of the committee that attended the meeting agreed to maintain the current monetary policy rate while three voted to increase the rate.
According to him, apart from the MPR which was retained at 14 per cent, the committee also retained the Cash Reserves Ratio at 22.5 per cent.
The MPR is the rate at which the CBN lends to commercial banks and usually determines the cost of borrowing from the banks