• Thursday, December 05, 2024
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BusinessDay

Winners and losers of CBN’s latest rate hike

MPC rate pause on the cards as DMO auctions N150bn FGN bonds
The Nigerian economy faces mixed consequences from the Central Bank’s 25 basis-point interest rate hike on Tuesday, with clear winners and losers emerging. While higher rates are a powerful tool for taming inflation, they also raise borrowing costs, discourage investment, and risk slowing economic growth. Economists argue that although monetary tightening is necessary, its impact could be amplified by aligning with supportive fiscal policies. This policy shift creates both winners—such as banks and fixed-income investors—and los