Adedapo Adesanya
By Adedapo Adesanya
The Senate has confirmed the appointment of 12 persons as members of the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) ahead of next week’s eagerly awaited interest rate-setting meeting.
This confirmation comes after a report of the Committee on Banking, Insurance and other Financial Institutions was considered during plenary on Thursday.
The confirmation of the new MPC members comes days before the first policy meeting of the apex bank under the new CBN governor, Mr Olayemi Cardoso, who by his position will be the chairman of the committee.
The meeting has been slated for Monday, February 26, and Tuesday, February 27, 2024.
The members of the team are Mr Olayemi Cardoso – Chairman; Mr Muhammad Sani Abdullahi – Member; Mr Bala M. Bello – Member, Mrs Emem Usoro – Member; Mr Philip Ikeazor – Member; and Mr Lamido Yuguda — Member.
Others are Mrs Jafiya Lydia Shehu – Member; Mr Murtala Sabo Sagagi – Member; Mr Aloysius Uche Ordu – Member; Mrs Aku Pauline Odinkemelu – Member; Mr Mustapha Akinwumi – Member; and Mr Bandele A.G. Amoo – Member.
Last week, President Tinubu wrote to the Senate requesting the confirmation of the appointment of a chairman and members of the MPC. The plea was conveyed in a letter addressed to the Senate President, Mr Godswill Akpiabio, and read at plenary on Wednesday, February 15.
According to Section 12 sub-section 2 of the CBN Act 2007, the MPC comprises 12 members of the CBN Governor, the four Deputy Governors of the CBN, two members of the bank’s board, three members appointed by the President, and two members appointed by the CBN Governor.
The CBN last held such a meeting in July 2023 and the interest rates were held at 18.75 per cent. Now, with inflation nearing 30 per cent, analysts expect that the CBN will further hike the rates despite calls from other quarters to ease the benchmark.
Regardless of how the event pans out, Mr Cardoso will be looking to make a statement in his first meeting since he was appointed to take over the position in September 2023.
Speaking at a bankers’ dinner in November last year, Mr Cardoso said that the MPC meeting has not been effective and that his
“For quite some time, the MPC meeting has not been effective,” he said, adding that the CBN Act 2007 requires that the MPC meeting be held four times a year and the bank has satisfied the requirement for 2023.
“Our focus is on ensuring that these meetings are useful and effective,” he said at the time.
Mr Cardoso said he expects inflation to moderate to 21.4 per cent in 2024 using what he called an “inflation-targeting policy”
