African markets

Nigeria’s central bank raises benchmark interest rate to 13%

(Xinhua) — Nigeria’s apex bank on Tuesday raised its benchmark interest rate to 13 percent, the first hike in more than two years.

The Central Bank of Nigeria (CBN) has raised the interest rate by 150 basis points to tackle rising inflation in Africa’s most populous country, CBN Governor Godwin Emefiele told reporters at the end of the apex bank’s monetary policy committee meeting in Abuja. , the Nigerian capital.

The bank, however, kept all other metrics, including the cash reserve ratio at 27.50% and the liquidity ratio at 30%, Emefiele said.

According to the governor of the apex bank, the bank was faced with various options but guided by the need to slow inflationary pressures while generating economic growth.

He expressed deep concern over the continued upward trend in inflationary pressures despite the gradual improvement in output growth, saying tackling inflation was more compelling and urgent in the sequence of policy goals.

The apex bank governor also urged the Nigerian government to do more to provide a safe and secure environment for economic activities to spur growth. Final article