…urges CBN to maintain tight monetary policy to ensure stability
Muhammad Sanusi, a former governor of the Central Bank of Nigeria (CBN) has cautioned against loosening of monetary policy, warning that a reduction in interest rates at this time could jeopardise economic stability and reverse recent gains in the fight against inflation.
Speaking during a plenary session at the ongoing Nigeria Economic Summit on Tuesday, Sanusi described the recent reduction in Monetary Policy Rate to 27% by the Central Bank of Nigeria (CBN) as premature and send wrong signals. He urged the apex bank to maintain a tight monetary policy to ensure economic stability.