Nigeria’s stock market maintained its positive trajectory on Tuesday by 0.47 percent as the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) held rates steady after its 2-day meeting. At 28.69 percent year-to-date (YtD) return as at Tuesday, Nigeria’s equities market has joined Africa’s best-performing stocks.
The MPC retained the Monetary Policy Rate (MPR) at 27.50percent, retained the asymmetric corridor around the MPR at +500bps/-100bps, retained the Cash Reserve Ratio (CRR) for deposit money banks at 50 percent, retained the CRR for merchant banks at 16 percent, and retained the liquidity ratio at 30 percent.
Investors continued to take positions in Nigerian stocks following foreign exchange (FX) reforms, moderating fixed income yields, banking sectors recapitalisation and expectation of interim dividend payment by the market’s regulars.