Key questions this article answers:
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In its battle against inflation, the Central Bank of Nigeria (CBN) has embarked on the longest cycle of monetary policy tightening since 2015. Have these actions been effective?
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The CBN's rapid interest rate hikes fuel fears of a recession. Is it too late to avert this unintended consequence of the CBN's actions?
I’ll start with a picture so we have something helpful to frame this debate with.
Below is a map illustrating different central banks’ approaches to managing inflation in the past year. The map shows that the main central banks have raised rates already this year, and many other countries did so last year.
