ABUJA – The Independent Media and Policy Initiative (IMPI) has endorsed the Central Bank of Nigeria’s (CBN) decision to cut the Monetary Policy Rate (MPR) to 27 per cent, describing it as a step in the right direction for the economy.
IMPI Chairman, Dr. Omoniyi Akinsiju, in a statement on Wednesday in Abuja, said the reduction, the first in five years, aligns with the think-tank’s earlier policy projections.
He noted that the move signalled the start of a monetary easing cycle expected to run through the next three quarters.
According to Akinsiju, the decision was guided by recent data on inflation and exchange rate stability, showing that the apex bank had correctly read economic indicators before loosening its grip on interest rates.
He recalled that IMPI’s policy paper had predicted the cut, citing five consecutive months of declining headline inflation and a stronger Naira.
“The IMPI had forecasted a five per cent GDP growth in 2025, higher than the 3.4 per cent projected by the IMF.
Tuesday’s announcement affirms that appropriate measures are in place to ensure monetary and fiscal policies work in tandem,” he said.
Akinsiju explained that the cut would reduce borrowing costs for businesses, improve the operating environment, and eventually drive down prices of goods and services.
He added that the development makes IMPI’s forecast of headline inflation easing from 20.12 percent to 17 per cent by December more achievable.
He urged federal authorities to sustain supportive policies to keep the economy on a path of steady growth.
