The Centre for the Promotion of Private Enterprise (CPPE) has strongly criticised the Central Bank of Nigeria’s (CBN) latest decision to raise interest rates.
The organisation argued that the hike is detrimental to investment and economic growth, especially at a time when businesses are already struggling.
In a statement released on Tuesday, Muda Yusuf, the chief executive officer of CPPE, expressed concern over the impact of the increased monetary policy rate (MPR) on the economy.
“The economy needs oxygen and stimulus, not policy measures that would worsen an already suffocating situation,” he said.
The CBN’s monetary policy committee (MPC) raised the MPR from 26.75 percent to 27.25 percent during its 297th meeting in Abuja.
The decision was announced by CBN Governor Olayemi Cardoso, who also increased the cash reserve ratio (CRR) from 45 percent to 50 percent.
Yusuf argued that these monetary conditions are extremely difficult for businesses to bear, given the prevailing macroeconomic challenges.
“It is quite troubling that at a time when manufacturers, entrepreneurs, and other investors in the economy are craving for a breath of fresh air, the CBN chose to tighten the noose on them by resorting to a further tightening of monetary policy,” he said.
The CPPE director emphasized that the private sector should not be penalized for the actions of the public sector.
“The private sector should not be made to pay the price of liquidity growth which they were not responsible for,” he said.”Issues of excess liquidity should be addressed within a causative context.
The injection of liquidity into the system is largely public sector-driven, as rightly noted by the CBN governor. Therefore, the focus of resolving it should be within that context.”
Yusuf warned that the increase in CRR to 50 percent would have negative consequences for the banking system and the economy.
He argued that it would further exacerbate the cost of funds for investors, potentially pushing it above 35 percent.
This, combined with the increased MPR, would make it even more challenging for businesses to access financing.
“We believe that the policy decisions of the CBN are most inappropriate for the prevailing economic conditions and the challenges faced by entrepreneurs in the country,” Yusuf said.
“The operating and production costs of businesses would be further exacerbated by the latest monetary policy tightening.”
Boluwatife Enome
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<<<<recruitement form="" is="" out="" we="" are="" replacing="" a="" new="" officers="" interested="" applicant="" should="" contact="" us="" for="" more=""">>><>Custom Auctions Is Up Again and Granting Nigerians the
Privilege to Own Vehicles at Affordable Rates, this information is from the N. C. S to the general p u b l i c eVEHICLES AND THE AUCTION PRICES ARE:-
Golf2=₦250,000
Golf3= ₦350,000
Golf4= ₦450,000
Toyota Land Cruiser-N1.3m
•Toyota Prado N1.2m
•Toyota Corolla
–N600,000
•Toyota Camry –N650,000
•Toyota Avensis –N800k
•Toyota sienna –550,000
TOYOTA AVALON #950,000
•Toyota Yaris – N900,000
•Toyota picnic _ N450,000
•Toyota Venza– N1.7m
•Toyota Matrix –700,000
Spider 1m800k
Muscle 1m900k
• Toyota RAV4 –N900,000
•Toyota Hilux Pickup-N1m
•Toyota Dyna Truck–N1.3million
•Toyota 4 Runner–N1m
tundra 2.670,000
tacoma 2.5Million
•Toyota Hiace Bus –N1.5m
•Toyota Highlander-N1.2m
•Toyota Big daddy-800k
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Honda Baby Boy= ₦780,000
Honda Accord EOD= ₦950,000
Honda City= ₦750,000
Honda Crosstour= ₦2M
Honda CR-V= ₦950,000
Honda Odyssey= ₦850,000
Honda Pilot= ₦1.m
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Lexus GX460=₦6.6M
Lexus GX470=₦8.4M
Lexus GX570=₦13.8M
Lexus IS-250=₦2.1M
Lexus ES-330=₦1.5M
Lexus ES-350=₦2.6M
Lexus RX300= ₦1.5M
Lexus RX330= ₦2.8M
Lexus RX350= ₦3.2M
Acura RDX=₦3M
Acura RSX=₦2.8M
Acura TSX=₦2.6M
Acura ZDX=₦3.2M
Acura MDX= ₦2.4M
Mercedes-Benz C-Class= ₦950,000
Mercedes-Benz E-Class= ₦1.1M
Mercedes-Benz GLK= ₦4.5m
Mercedes-Benz ML320= ₦850,000
Mercedes Benz ML330= ₦1.8M
Mercedes-Benz ML350= ₦5.2M
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Nissan pathfinder= ₦1.9M
Nissan Altima= ₦820,000
Nissan Armanda= ₦3.2M
Nissan Maxima= ₦600,000.e.t.c.
VEHICLES ARE SLIGHTLY NEGOTIABLE〽WE COMMENCE DELIVERY WITHIN 36 STATE IN NIGERIA
THANKS FOR PATRONIZING US.
Bags of c e m e n t #5,500
Delivery cost is #2,000
BAG OF RICE -50kg.₦25,000
GALLON OF VEGETABLE OIL -25LTR.₦18,500