Stocks dented as Nigeria MPC hikes rates by 150bps to 13%

Nigerian Stocks have been dented by a first Interest-Rate hike in years.

After holding the Monetary Policy Rate (MPR) constant at 11.5 per cent for about two and a half years, the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN), yesterday, raised the benchmark interest rate by 150 basis points to 13 per cent in response to global inflationary pressures, which had continued to hurt economies around the world.

The MPR is the rate at which the apex bank lends to commercial banks and often determines the cost of funds in the economy.