The Central Bank of Nigeria unexpectedly slashed its monetary policy rate by 100 bps to 11.5% during its September 2020 meeting, bringing borrowing costs to the lowest since 2016. This was the second rate cut this year and came even as inflation has been above target since 2015, to continue supporting the economy that plunged 6.1% in the Q2 hit by the global pandemic. Meanwhile, headline inflation continued to climb to an over two-year high of 13.2% in August, pushed by higher food prices that remain under pressure due to floods, a weaker currency and clashes between herders and farmers. The Committee said that the economy may continue to grapple with the effects of the pandemic throughout the rest of the year, projecting growth in Q4 2020, or at least by Q1 2021. The central bank stressed the urgent need for a combination of broad-based monetary and fiscal policy measures to curb the rise in inflation and contraction in output growth.
Interest Rate in Nigeria averaged 11.22 percent from 2007 until 2020, reaching an all time high of 14 percent in July of 2016 and a record low of 6 percent in July of 2009. This page provides - Nigeria Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Nigeria Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on October of 2020. source: Central Bank of Nigeria
Interest Rate in Nigeria is expected to be 12.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Nigeria to stand at 11.50 in 12 months time. In the long-term, the Nigeria Interest Rate is projected to trend around 11.50 percent in 2021, according to our econometric models.