Nigeria’s new central bank governor said on Thursday he would pursue a gradual reduction in interest rates, an apparent reversal of his predecessor’s hawkish monetary policy that was credited with bringing inflation down to single digits.
Governor of the Central Bank of Nigeria Godwin Emifiele said policy would be aimed at seeking a reduction in overall lending rates to make it cheaper busto invest.
“There is no doubt that reducing interest rates and maintaining exchange rates are very daunting twin goals,” Emifiele said.
“However the central bank will work assiduously to ensure that these goals are mutually achieved.”
The core of his vision was zero tolerance to practices that undermine financial stability, he said at his first press conference since taking over on Tuesday from Lamido Sanusi, whom President Goodluck Jonathan suspended in February.
Emifiele also announced that all charges on deposits of customers at banks are abolished with immediate effect.