CBN’s monetary policy committee meetings largely ineffective, says Cardoso

Date:

Governor Yemi Cardoso of the Central Bank of Nigeria (CBN) has declared that the Monetary Policy Committee (MPC) meetings conducted by the CBN have been largely ineffective in addressing the nation’s economic challenges.

He said this on Friday in his keynote address at the Annual Dinner of the Chartered Institute of Bankers of Nigeria held in Lagos.

Cardoso said that based on constitutional provisions, the MPC was required to meet four times a year and it has already done so this year.

He said, “This is what I, together with my team at the Central Bank have been focused on doing in the past two months. We have critically reviewed the effectiveness of the Central Bank’s monetary policy tools and have spent time fixing the transmission mechanism to ensure the decisions of MPC meetings actually result in desired objectives.

“For quite some time, there has been a dislocation of our monetary transmission mechanisms rendering the MPC meetings largely ineffective.

“For the avoidance of doubt, the Central Bank of Nigeria Act 2007 requires that the meeting of the Monetary Policy Committee of the Bank be held at least four times a year, and the Bank has satisfied this requirement for 2023. Our focus has been on ensuring these meetings are useful and effective.”

The MPC is responsible for formulating monetary and credit policy in Nigeria, with the primary objective of maintaining price stability and ensuring the stability of the financial system. It convenes quarterly to assess economic developments and make decisions on key policy rates.

Source: The Punch

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Subscribe

Popular

Latest Updates

More like this
Related

W.African bloc lifts sanctions against Guinea, Mali

West Africa's regional bloc ECOWAS said Sunday it was...

FG eyes 1,268MW from new eight power plants

The Federal Government is expecting 1,268 megawatts of power...

45,000km longest subsea cable lands in Nigeria

To broaden Nigeria’s Internet ecosystem, Bayobab, a pan-African digital...

Banks sell $172m as CBN, EFCC battle currency speculators

Experts fault NAFEM intra-day rates, demand full...
bitcoin
Bitcoin (BTC) $ 56,963.26 4.80%
ethereum
Ethereum (ETH) $ 3,246.81 2.57%
tether
Tether (USDT) $ 1.00 0.27%
bnb
BNB (BNB) $ 395.16 1.04%
solana
Solana (SOL) $ 108.20 1.28%
xrp
XRP (XRP) $ 0.58589 6.51%
staked-ether
Lido Staked Ether (STETH) $ 3,245.76 2.67%
usd-coin
USDC (USDC) $ 0.999583 0.15%
cardano
Cardano (ADA) $ 0.625619 1.56%
avalanche-2
Avalanche (AVAX) $ 39.19 0.61%