The Central Bank of Nigeria has revealed that 63.3 percent of Nigerians want interest rates reduced ahead of the upcoming Monetary Policy Committee meeting scheduled for May 19 and 20, 2026.
The disclosure was contained in the apex bank’s April 2026 Inflation Expectations Survey Report released by its Statistics Department under the Economic Policy Directorate. According to the report, most Nigerians are demanding lower borrowing costs despite persistent inflationary pressures affecting the economy.
The survey showed that 26 percent of respondents preferred interest rates to remain unced while 10.7 percent supported another rate increase. The findings come as the Monetary Policy Committee prepares to decide on the country’s benchmark interest rate amid rising inflation, exce rate pressure, insecurity, and increasing energy costs.
The report also revealed that inflation concerns worsened in April 2026, with 67.2 percent of respondents describing inflation as high compared to 56.4 percent recorded in March. The Inflation Perception Index stood at 40.5 points, indicating that many Nigerians still consider inflation elevated.
Households appeared more affected than businesses. According to the report, 68.8 percent of households viewed inflation as high compared to 65.9 percent of businesses. Rural residents also reported stronger inflation concerns than urban residents.
Respondents identified rising energy costs, transportation expenses, exce rate inility, insecurity, and poor infrastructure as the major drivers of inflation across the country.
Economist Muda Yusuf warned that although the Monetary Policy Committee may maintain its tight monetary stance to contain inflation and protect investor confidence, further rate hikes could negatively affect economic growth and private sector investment.
He argued that Nigeria’s inflation problem is largely driven by structural and supply side challenges rather than excessive consumer demand, making aggressive monetary tightening less effective.
Analysts at United Capital Plc also projected that the MPC would likely retain the current Monetary Policy Rate at 26.5 percent while monitoring inflation and economic growth conditions.
Leave a comment