Manufacturers eye lower lending after CBN rate cut
Nigerian manufacturers have welcomed the CBN’s decision to cut the benchmark interest rate to 23% and are now calling on banks to reduce lending rates. Read More: https://punchng.com/manufacturers-eye-lower-lending-after-cbn-rate-cut/
Commercial manufacturers are urging Nigerian banks to pass the Central Bank of Nigeria's reduced Monetary Policy Rate onto their lending rates. The CBN cut the MPR to 23 per cent on Tuesday, signaling responsiveness to the business environment. However, manufacturers argue that the real issue is the current high prime lending rate of 27-30 per cent, which makes them uncompetitive globally.
MAN DG Segun Ajayi-Kadir says the 23 per cent rate is a relief but not a stimulus, urging the CBN to further reduce the MPR towards sub-15 per cent in the medium term. MAN also calls for a sub-15 per cent MPR, addressing power, forex, logistics, and taxation issues. Meanwhile, the National Association of Small-Scale Industrialists urges cheaper borrowing to expand the industrial base and drive economic growth.
Written by urgent.news from Punch Nigeria's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
