Private sector fears loan repayment crisis

Members of the Organised Private Sector and economists have expressed fear over the latest hike in the nation’s benchmark interest by the Monetary Policy Committee, saying the decision could significantly hamper economic operators’ ability to repay their loans.
At the end of its 295th meeting on Tuesday, the Governor of the Central Bank of Nigeria, Olayemi Cardoso, who also doubles as the chairman of the MPC, announced the decision of the committee.
The MPC raised the interest rate by 150 basis points to 26.25 percent from 24.74 percent.
Recall that, Tuesday’s MPR hike has become the third consecutive rise in the benchmark interest rate this year.