• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Saturday, October 18, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
    • Football
  • Health
  • Entertainment
  • Education
  • Opinion
    • Editorial
    • Columns
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
    • Football
  • Health
  • Entertainment
  • Education
  • Opinion
    • Editorial
    • Columns
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Cut Interest Rate Now, Manufacturers Beg CBN

by Olushola Bello
5 months ago
in Cover Stories
cbn
Share on WhatsAppShare on FacebookShare on XTelegram

Manufacturers have appealed to the Central Bank of Nigeria (CBN) to cut interest rates to safeguard the industrial base from high borrowing costs.

Advertisement

They noted that the current interest rate regime was constraining for the members, surging by over 44 per cent from N1.43 trillion in 2023 to N2.06 trillion in 2024 and rising.

At its 300th meeting, the Monetary Policy Committee (MPC) of the CBN held all policy parameters unchanged: Monetary Policy Rate (MPR) at 27.5 per cent, Asymmetric Corridor around MPR at +500/-100, Cash Reserve Ratio (CRR) for commercial and merchant banks at 50.0 per cent and 16.0 per cent, respectively, and liquidity ratio at 30.0 per cent.

Advertisement

The director-general of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, expressed deep concern over the Central Bank of Nigeria’s decision to maintain the MPR at 27.5 per cent since November 2024. This decision stands in stark contrast to global trends, where countries have reduced interest rates to stimulate economic growth.

Ajayi-Kadir emphasised that “high interest rates put Nigeria in the ranks as the sixth most expensive country for credit, hindering the manufacturing sector. With local lending rates exceeding 37 per cent, manufacturers are struggling to meet operational costs, expand production, and remain viable. The inability to access affordable financing threatens the ‘Nigeria First Policy’, which aims to strengthen local industry.

He noted that “the impact is evident, as the manufacturer’s CEO’s Confidence Index had dropped from 50.7 to 48.3 points, signalling growing unease within the sector. While high interest rates may attract short-term foreign investment, they damage domestic industries and limit sustained economic growth.”
MAN urged “the CBN to reconsider its monetary policy, advocating for significant cuts to the benchmark interest rate and the implementation of incentives for commercial banks to offer concessionary rates. Additionally, they request the approval of N1 trillion for distressed manufacturers and an increase in the capital base of the Bank of Industry.”

RELATED NEWS

Deputies Sidelined As Governors Plan 2027 Succession

Jega Bemoans Leadership Deficit In Nigeria

Boko Haram, ISIS killing More Muslims – US Envoy

New Electoral Chief Amupitan’s Credible Election Pledge Sparks Responses

The director-general of the Lagos Chamber of Commerce and Industry (LCCI), Dr. Chinyere Almona, urged a cautious approach to interest rates as the Monetary Policy Committee (MPC) maintains current parameters, saying that though headline inflation had slightly decreased to 23.71 per cent, Nigeria’s economic landscape remains challenging, driven by exchange rate volatility, rising costs, and structural issues.

“A premature interest rate cut could undermine investor confidence,” he said.

She urged the MPC to provide a clear, data-driven roadmap for potential future easing, reliant on indicators such as sustained disinflation, improved foreign exchange stability, and recovery in the real sector, particularly for micro, small, and medium-sized enterprises (MSMEs).

Almona also noted that the current high MPR hinders private sector growth, particularly affecting MSMEs, as she called for coordinated efforts with fiscal authorities to address inflation’s root causes.

She proposed strategies including supporting production-focused reforms, enhancing development finance for key sectors, promoting transparency in lending rates, and stabilising the FX market.

The LCCI advocated a balanced approach that contains inflation while revitalising Nigeria’s economy through data-informed monetary policies and strategic sector support.

Join Our WhatsApp Channel

SendShare10171Tweet6357Share

OTHER NEWS UPDATES

Deputies Sidelined As Governors Plan 2027 Succession
Cover Stories

Deputies Sidelined As Governors Plan 2027 Succession

17 hours ago
Jega Seeks Review Of 2022 Electoral Act, Depoliticisation Of Judges
Cover Stories

Jega Bemoans Leadership Deficit In Nigeria

17 hours ago
Boko Haram Kills More Muslims Than Christians In Nigeria, Says US Envoy
Cover Stories

Boko Haram, ISIS killing More Muslims – US Envoy

17 hours ago
Advertisement
Leadership join WhatsApp

LATEST UPDATE

Police Urge #FreeNnamdiKanu Protesters To Obey Court Order, Warn Against Violence

17 minutes ago

After Gaza War, Netanyahu To Seek Re-election

25 minutes ago

Anambra Guber: PVC Collection Exercise Begins October 22

48 minutes ago

Fear Of Protest Stops Nigerian Military From Seizing Power From Civilians — Sowore

2 hours ago

Imo Police Name Officers Involved Viral Cult Video

2 hours ago
Load More

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
    • Football
  • Health
  • Entertainment
  • Education
  • Opinion
    • Editorial
    • Columns
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.