​The next meeting of the monetary policy committee (MPC) takes place in Abuja today and tomorrow. It has to contend with the slowdown in growth (to 2.1% y/y in Q4 2015) and a pick-up in inflation well above the “tolerance†range (to 11.4% y/y in February). The policy rate of 11.00% stands below prevailing inflation, which undermines the case for easing to boost flagging growth. A hike would be the textbook response to the inflation data but would be unlikely in view of the GDP numbers and signs of a pro-growth stance in the committee.
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