The International Monetary Fund (IMF) is projecting that Nigeria’s inflation will moderate to an average of 19 per cent by the end of this year and further drop to 17 per cent by 2023 due to the tightening measures taken by the Central Bank of Nigeria (CBN).
Recall that the Monetary Policy Committee (MPC) had recently raised benchmark interest rate from 14 per cent to 15.5 per cent and tightened liquidity by increasing Cash Reserve Requirement to 32.5 per cent.
Speaking at the 2022 IMF/World Bank Annual Meetings, Division Chief, Research Department, IMF, Daniel Leigh, said the monetary policies in the country will drive down the spiking inflation in the country which stood at 20.52 per cent as at August 2022.
According to him, “for Nigeria, we forecast inflation at about 19 per cent this year, but then some moderation next year down to 17 per cent, and part of that does reflect the monetary policy actions which is the 4 per cent point increase in Nigeria’s Central Bank as…
Source: Leadership Newspaper