As the Monetary Policy Committee (MPC) of CBN meets today, Monday 20 May, to assess the state of the economy following recent consecutive increases in the benchmark lending rate, analysts have warned that the continued monetary tightening stance was hurting manufacturing and small businesses.
The economic and business analysts said that given that previous increases in lending rates had neither tamed inflation nor stabilised FX volatility, the MPC ought to hold current policy instruments constant to allow previous decisions to permeate the system.
They particularly observed that the current inflationary attacks could not be addressed by monetary policy alone, as some of the kickers were structural issues.
