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Macrostrat Urges Fiscal Reforms as CBN Holds Rates Steady After 306th MPC Meeting

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By David Torough, Abuja 

Macrostrat Nigeria Limited has called for stronger fiscal reforms and closer coordination between monetary and fiscal authorities following the Central Bank of Nigeria’s decision to retain all key monetary policy parameters at its 306th Monetary Policy Committee (MPC) meeting.

The recommendation emerged from a national policy webinar titled “The CBN Decides: July 2026 MPC Decision,” hosted by Macrostrat on July 22, 2026, where leading economists and policy experts assessed the implications of the apex bank’s decision to maintain its tight monetary stance.

The CBN on July 21 voted unanimously to retain the Monetary Policy Rate (MPR) at 26.5 percent, while leaving the Cash Reserve Ratio at 45 percent for Deposit Money Banks and 16 percent for Merchant Banks, maintaining the liquidity ratio at 30 percent, and keeping the asymmetric corridor at +50/-450 basis points.

According to Macrostrat, the decision reflects the CBN’s commitment to price and exchange rate stability amid easing inflation, global geopolitical uncertainties, volatile commodity markets, and anticipated election-related fiscal spending.

However, experts at the webinar warned that while the policy pause may help stabilize market expectations in the short term, persistently high interest rates continue to constrain private sector investment, job creation and economic expansion.

They argued that inflation in Nigeria remains largely driven by structural factors—including food supply disruptions, insecurity, high logistics costs, rising energy prices and infrastructure deficiencies—rather than excessive consumer demand, limiting the effectiveness of monetary tightening alone.

The panel also highlighted a disconnect between the official policy rate and prevailing money market rates, noting that high Cash Reserve Ratio requirements have locked significant banking sector liquidity at the CBN, reducing credit available to businesses and encouraging banks to invest in government securities instead of lending to the real sector.

Macrostrat called on the Federal Government and the CBN to adopt a coordinated policy approach by aligning fiscal and monetary measures, reforming the Cash Reserve Ratio framework, expanding targeted intervention funds for agriculture and manufacturing, and investing in power, transport and food supply infrastructure to tackle the structural drivers of inflation.

The firm further recommended narrowing the gap between official policy rates and market rates, improving debt issuance coordination, and establishing a joint macroeconomic policy coordination council involving the CBN, Ministry of Finance, Budget Office and Ministry of Industry, Trade and Investment.

For businesses, Macrostrat advised companies to improve working capital management, optimize supply chains and hedge foreign exchange risks, while investors were encouraged to take advantage of elevated yields on Nigerian Treasury Bills and other short-term fixed-income instruments while closely monitoring global geopolitical developments.

Speaking through the policy brief, Macrostrat Managing Director and Chief Executive Officer, Dr. Justin Amase, said sustainable economic growth would require moving beyond monetary tightening to comprehensive structural reforms that address insecurity, energy shortages, logistics bottlenecks and domestic food production.

The webinar featured economists and policy experts including Dr. Ayo Teriba, Prof. Evans Osabuohien, Dr. Faith Iyoha, Prof. Comfort Amire, Dr. Adedeji Adeniran, Dr. Rislanudeen Mohammad, and Prof. Likita Ogba, who collectively agreed that lasting macroeconomic stability would depend on effective monetary-fiscal coordination rather than interest rate policy alone.

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Makarfi Marks 70th Birthday Anniversary, Appreciates Massive  Solidarity  

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Former Governor of Kaduna State, Senator Ahmed Mohammed Makarfi, has said he didn’t bargain for the “deluge” of good will messages, which came his way on  his 70th birthday, on August 8.

In a statement at the weekend, the former National Chairman of Peoples Democratic Party(PDP) said  while it was “no doubt a privilege worthy of appreciation to attain the age of three scores and ten on August 8, 2026” he   was overwhelmed by the show of love from   different parts of the country and beyond.

“My attempts to write individualized responses to the thousands of messages have come to nought as I lose count of who and what messages to respond to.

 

“I take this opportunity therefore, to convey my most sincere and heartfelt gratitude and appreciation to the multitude of well wishers across all divides who have, in their various ways shared the momentous day with me. 

I, however, want to thank notably, Allah (SWT) for enabling the attainment as well as so many other favours that only He is capable of” he said in the statement to the media.

He appreciated President  Bola Ahmed Tinubu,    the Speaker, House of Representatives, Dr Tajuddeen Abbas,  Kaduna State Governor, Senator Uba Sani, members of the National Assembly, the set of 1999 governors and other former governors, His Highness Ambassador Ahmed Nuhu Bamalli, CFR, Emir of Zazzau and several other Emirs and Chiefs from both within and outside Kaduna State, leaders of various political parties, other political leaders as well as candidates to various offices across partisan divides, religious leaders, and friends and well-wishers, as stated   who he said either called or wrote goodwill messages to him.

“I equally appreciate the numerous youths and youth groups that took to the social media to felicitate with me.

I want to say that the various messages, many of which described me in superlatives that made me wonder as to who the references are, have humbled me but at the same time will serve as a tonic that gingers me to continue to give my best to support the unity, peace and progress of our country and its people” he stated.

He urged his friends, political associates and supporters to close ranks and confront the myriad of problems bedeviling the nation saying the challenges were surmountable with a strong will and spirit.

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NYSC Swears in 1,760 Corps Members in Bayelsa

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From Mike Tayese, Yenagoa

The National Youth Service Corps (NYSC) has sworn in a total of 1,760 Corps members for the 2026 Batch ‘B’ Stream two orientation exercise and mandatory one-year service in Bayelsa.

The swearing-in ceremony was held over the weekend at the NYSC Permanent Orientation Camp Kaiama, in Kolokuma/Opokuma Local Government Area of the state.

DAILY ASSET reports that the Chief Judge of the state, Justice Matilda Ayimieye, represented by Justice Inikade Eradiri, administered the Oath of allegiance on the corps members.

In his address, the state’s NYSC Coordinator, Samuel Pepple, said that 1,760 corps members registered for the mandatory orientation.

He noted that the corps members for the past two days, had started acclimatizing to their environment, in preparation to serve their fatherland. “I congratulate you today, as you people are responding to the parade amongst other things,” he said.

According to him, the orientation is to run for three weeks, after which corps members will be posted to their places of primary assignments.

He consequently, urged corps members to be of good behavior in all they do in the cause of their service to the state, and the nation at large.

The coordinator commended Gov. Douye Diri, for all the support he has been rendering to the Bayelsa NYSC, and also thanked invited guest and camp officials.

In his remarks, Gov. Diri who was represented by the Executive Assistant to the Governor on NYSC Matter, Wisdom Poyeri, noted that the orientation was necessary and important to national service.

Diri commended camp officials and urged corps members to be tolerant with one another, and exhibit unity during the exercise and beyond their service year.

He noted that the state government remained committed to their welfare and safety, and urged corp members to contribute positively to their places of primary assignments and beyond.

The governor urged them to conduct themselves with dignity and respect for one another, and shun any act of indiscipline amongst them but to embrace things that will make them a better people in the future.

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Tears Flow as Benue Buries 16 Victims Killed by Suspected Herdsmen

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From Attah Ede, Makurdi

Members of Efeyi community in Ugboju district in Otukpo Local Government Area of Benue State, on Saturday conducted a mass burial for 16 persons killed in a suspected armed herdsmen attack, as sorrows and tears gripped the community.

The victims were laid to rest in a solemn ceremony attended by family members, community leaders, traditional rulers, political and religious leaders, many of whom struggled to hold back tears as they paid their last respects.

Suspected armed herdsmen had invaded and launched an unprovoked attack on Efeyi community in Ugboju District of Otukpo Local Government Area of the State and killed 16 people.

The attackers were said to have stormed the community at about 5 a.m., shooting sporadically.

That incident is the second heavy attack in the area in recent months.

A resident of the community who identified himself as Ogboji Aboje, who attended the funeral, said the event was one of the saddest moments in the history of the community.

“The funeral was so touching. The atmosphere was full of sorrow. Tears were gushing. It was the saddest day for the people of the Efeyi community. May their souls rest in peace. Amen,” he said.

Prayers were offered by a Catholic priest before the eight victims, laid in white caskets, were lowered into graves dug side by side

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