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UPDATE 1-In wait-and-see mode, Nigeria's central bank holds rates

Published 24/03/2020, 15:26

(Adds details, quote)
ABUJA, March 24 (Reuters) - Nigeria's central bank held its
benchmark lending rate at 13.5% on Tuesday, as its governor said
it would take time to assess measures already taken to support
the economy in response to the coronavirus outbreak.
Godwin Emefiele said the bank's monetary policy committee
voted unanimously to retain the rate.
Nigeria relies on crude sales for 90% of foreign exchange
earnings and has come under pressure after oil prices plunged
amid a price war between Russia and Saudi Arabia. The pandemic
has also hit global demand for oil.
Last week the bank devalued Nigeria's naira currency and
announced a stimulus package to support Africa's biggest
economy. Emefiele said that, in light of recent actions already taken
by the bank, the committee "resolved to allow time for the
measures to permeate the economy" before deciding on any other
steps that may be required.
The move bucks a global trend of monetary easing. Other
African countries - including Ghana, Kenya and Congo - have cut
their main lending rates in the last few days.
As of Monday, Nigeria had 40 confirmed coronavirus cases and
one death, a 67-year-old former oil official.

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