The Central Bank is likely to delay making another monetary policy rate cut until the proposed review of the rate cap is carried out, even as a stable economy supports further policy easing.
Economists at Commercial Bank of Africa (CBA) say the regulator’s surprise move to cut the CBR by 50 basis points to 9.5 per cent in the last Monetary Policy Committee (MPC) meeting in March has shaken the market out of the complacency that had set in towards the policy tool, which had remained unchanged since September 2016.
