Skip to main content

CBN announces new policy measures, reduces interest rates for financial institutions

CBN will be reducing interest rates on its facilities through participating financial institutions from 9% to 5% per annum for a year.

As part of its monetary and financial policy measures to further mitigate the impact of the coronavirus pandemic on households, and businesses, the Central Bank of Nigeria (CBN), has approved regulatory forbearance for the restructuring of credit facilities in the Other Financial Institution (OFI) sub-sector.
This was disclosed in a circular signed by the CBN’s Director for Financial Policy and Regulatory Department, Kevin Amugo, on Wednesday, May 27, 2020.

In the circular, stated that Amugo the apex bank will be reducing interest rates on its facilities through participating financial institutions from 9% to 5% per annum for a year with effect from March 1, 2020.

According to the circular, CBN has approved regulatory forbearance for the restructuring of credit facilities in the OFI sub-sector as follows:

‘’CBN Intervention facilities availed through participating OFIs are granted a further one-year moratorium on all principal repayments, effective March 1, 2020.

’Interest rates on the CBN intervention facilities through participating OFIs hereby reduced from 9% to 5% per annum for 1-year effective March 1, 2020.

‘’OFIs are granted leave to consider temporary and time-limited restructuring of the tenor and loan terms for households and businesses affected by COVID-19, subject to the recently issued guidelines for restructuring affected credit facilities in the OFIs sub-sector.”

This new policy measure by the apex bank is in continuation of its intervention in the nation’s economy so as to help manage the crisis caused by the coronavirus pandemic and reduce its effects on household and businesses.


This is coming a day before the Monetary Policy Committee (MPC) meeting for the month of May which has been slated for tomorrow Thursday, May 27, 2020.

Meanwhile, the CBN said that it shall continue to monitor developments and implement appropriate measures to safeguard financial stability and support stakeholders impacted by the COVID-19 pandemic.


Comments

Post a Comment

Popular posts from this blog

Black Adam Can Be The DCEU’s Wolverine

The upcoming Black Adam movie could position its title character as DC's equivalent to Wolverine. Though Black Adam has taken quite a long time to get rolling, the first day of DC FanDome gave a peak at what audiences can expect, from name-dropping several Justice Society of America members who make appearances to Dwayne Johnson stressing the harsh origins of the title character. Johnson's description of Black Adam himself also may offer a sense of just what role he'll occupy in the world of the DCEU. Johnson would place particular emphasis on Black Adam having been a slave who achieves his freedom after being granted power from the gods and who now seeks to unleash his own brand of justice on the world. Aside from the moral ambiguity of Black Adam, Johnson has also repeatedly spoken of him as a game-changing figure in the DCEU with the power level that he operates at. Meanwhile, with the way Black Adam is being presented as a character, he could carry some notable parallel...
Post a Comment
Read more

The Earth is making the moon rust

(CNN)The moon is getting rusty. Scientists had the same reaction you probably did when they reached this conclusion. It shouldn't be possible -- after all, there's no oxygen on the moon, one of the two essential elements to create rust, the other being water. But the evidence was there. India's lunar probe, Chandrayaan-1, orbited the moon in 2008, gathering data that has led to numerous discoveries over the years -- including the revelation that there are water molecules on its surface. The probe also carried an instrument built by NASA that could analyze the moon's mineral composition. When researchers at NASA and the Hawai'i Institute of Geophysics and Planetology analyzed the data recently, they were stunned to find hints of hematite, a form of iron oxide known as rust. There are plenty of iron-rich rocks on the moon -- but rust is only produced when iron is exposed to oxygenand water. At first, I totally didn't believe it. It shouldn't exist based on the...
Post a Comment
Read more

Epic Games asks court to stop Apple's 'retaliation' after App Store ban

Epic Games said late on Friday that it has asked a court to stop what it saw as Apple Inc's retaliation against the "Fortnite" creator after the iPhone maker terminated Epic Games' account on its App Store. Epic Games filed for a preliminary injunction that would put its game back in the App Store and restore its developer account. The filing was made in the United States District Court for the Northern District of California. It argued that Epic Games is "likely to suffer irreparable harm" in the absence of a preliminary injunction and that "the balance of harms tips sharply in Epic's favor". The filing described the iPhone maker as a "monopolist" that maintains its monopolies by "explicitly prohibiting any competitive entry". Late last week, Apple terminated Epic Games' account on its App Store amid a legal battle over the iPhone maker's in-app payment guidelines and accusations they constitute a monopoly. Apple sa...
Post a Comment
Read more