Nasir el-Rufai, the Kaduna State Governor yesterday decried the Central Bank's prevailing fiscal regime, saying the bank's 14 per cent monetary policy rate has led to massive job losses in the country.
Mr. El-Rufai said the CBN risked losing its power to set lending rates for commercial banks unless it immediately addressed the situation, adding that only unscrupulous elements could successfully operate under the current fiscal policy atmosphere.
"We have a Central Bank that has an MPR at -what?- 14 per cent and banks lending at 20 percent. Only traders and drug dealers can make money at this interest rate. I have said it before and I will repeat it again, unless the Central Bank and the banking system make a conscious decision to bring interest rate down, one day we would legislate it," Mr. El-Rufai said.
The governor's comments were delivered at a special edition roundtable organised by Women in Business, a non-profit women advocacy organisation, in Abuja.