Despite the fact Naira exchange rate fluctuates at the parallel market, the Central Bank of Nigeria (CBN) has decided to keep its benchmark interest rate at 11 percent.
The decision was arrived at during a meeting held by the bank’s monetary policy committee on Tuesday January 26.
Godwin Emefiele, the central bank governor said the official naira rate to the dollar remain unchanged.
CBN governor, Godwin Emefiele
At the meeting, 12 members of the committee unanimously resolved to keep the rate unchanged.
The CBN also pegged the cash reserve ratio for commercial banks at 20 percent.
”The committee reiterated its unyielding commitment towards achieving a stable exchange rate regime to ensure more flexibility for sustainable inclusive economic growth in the medium to long term,” he said.
Emefiele also claimed the import restrictions on some goods aimed at preserving the dwindling currency reserves has made a positive impact.
According to him, sales for locally produced food such as fish have been rising.
In recent times, the dollar has come under tremendous pressure due to drop in oil prices which has adversely dwindled oil revenues in the country.