The Manufacturers Association of Nigeria (MAN) says the latest interest rate increase by the Central Bank of Nigeria (CBN) will worsen the imminent recession in the manufacturing sector and negatively impact its operations in many ways.

On Wednesday, the policy-setting committee of the CBN raised the monetary policy rate (MPR) which measures interest rate, from 18 percent to 18.5 percent.

The latest adjustment was the seventh consecutive rise since May 2022.

The monetary policy rate (MPR) is the baseline interest rate in an economy, every other interest rate used within an economy is built on it.

Reacting in a statement on Thursday, Segun Ajayi-Kadir, director-general of MAN, said the MPR hike would, among other challenges, lead to an increase in the cost of borrowing which would further discourage investments in the sector.

Ajayi-Kabir said it would also lead to a high cost of production which would lead to higher commodity prices and inventory of unsold manufactured products.

“It is evident that the continuous and consistent increase in MPR is not yielding the desired growth in the economy. The Nigerian economy remains fragile and bedeviled with numerous challenges that inhibit growth,” the statement reads in part.

“Therefore, the monetary authority needs to pay closer attention to rethink the policy mix, bearing in mind the parlous state of the economy, especially the effect of a high MPR on the manufacturing sector and the economy.

“The increase in MPR from 18 percent to 18.5 percent will certainly lead to an increase in lending rates and worsen the uncompetitiveness of the manufacturing sector.

“The Association has been clamoring for single-digit lending rates to allow manufacturers access to needed funds to boost the performance of the sector.

“This increase, like the previous ones, is evidence that the CBN is either unperturbed about the plight of the productive sector or is unable to fathom out a more creative policy mix that would reflate the sector.

“Therefore, it is necessary for government to think outside the conventional monetary policy framework and take pragmatic steps to quell the inflationary pressure and reposition the economy.”

Adron Homes and Properties Ltd, a leading real estate company, is thrilled to announce the official event date for its highly anticipated annual sports fiesta Adron Games 2023, the 7th edition.

The event will take place from November 16 to 19, 2023, in Ibadan, Nigeria with the theme “The Strongest, is the Unstoppable”. This year’s event promises to deliver a thrilling experience with intense competitions in various sports disciplines, including Football, Basketball, Athletics, Table Tennis, and more.

This year’s edition will continue with the tradition of greatness by providing an unmatched platform for participants to showcase their skills and compete at the highest level.

The Corporate Games segment of Adron Games 2023 will feature teams from prominent companies across various industries. These organizations will engage in friendly yet fiercely competitive matches, fostering camaraderie and team spirit among their employees.

Additionally, the Adron Games 2023 will showcase the immense talent and passion within the Adron family. Adron Games recognizes the importance of fostering an active and healthy lifestyle among its staff members, and this segment serves as an excellent opportunity for employees to participate and excel in their favorite sports.

Participating teams in Football, Basketball, Athletics, Table Tennis, and other sports will face off in exhilarating matches throughout the event. The competition will be intense, as athletes strive to showcase their skills and claim victory for their respective teams.

One of the highlights of Adron Games 2023 is the mouth-watering cash prizes awaiting the winning teams. Adron Games 2023 aims to reward excellence and dedication by providing substantial incentives that recognize the hard work and talent exhibited by the participants.

“We are excited to announce the official event date for Adron Games 2023,” said Aare Adetola EmmanuelKing, the Group Managing Director/Chairman of Adron Group. “This year’s edition promises to be an exceptional showcase of talent, teamwork, and sportsmanship. We invite participants and spectators alike to join us in Ibadan for an unforgettable sporting experience.”

Adron Games 2023 is committed to creating an inclusive and memorable event that brings together participants, sponsors, and spectators from all walks of life. The event serves as a platform to celebrate athleticism, promote healthy competition, and encourage a vibrant sports culture within the community.

For more information about Adron Games 2023 and to stay updated on the latest news and announcements, please visit www.adronsportsfoundation.org or www.adronhomesproperties.com

The Monetary Policy Committee (MPC) of the Central Bank of Nigeria, on Wednesday, unanimously voted to increase its monetary policy interest rates to 18.5 percent.

It was earlier reported that the MPC of the bank voted to increase the benchmark interest rate by 50 basis points to 18 per cent.

The CBN Governor, Godwin Emefiele, disclosed this while reading the communiqué of the third MPC meeting of the year on Wednesday.

Addressing journalists at the end of the two-day meeting in Abuja, Mr Emefiele, said the committee voted to keep the asymmetric corridor at +100 and -700 basis points around the MPR.

Justifying the rising inflation rate, the MPC blamed the high energy cost and challenges around the supply chain, among others, which are beyond the reach of the CBN.

He added, “The current trend in price development would continue to be monitored by the bank with greater collaboration with fiscal authority to address the drivers of inflation.”

Analysts in the country had predicted the CBN and the MPC might raise the lending rates at the end of the Monetary Policy Committee.

The apex bank had increased the MPR from 11.5 percent earlier last year to 18 per cent in March this year across six consecutive rate hikes.

More to come…