Dr Samuel Nzekwe, a former President of the Association of National Accountants of Nigeria (ANAN), has called on Monetary Policy Committee (MPC) to further cut the interest rate to attract new investors into the economy.

Nzekwe made the call while speaking with the News Agency of Nigeria (NAN) on Sunday in Ota, Ogun.

The former ANAN president applauded the MPC’s decision in cutting the interest rate by 50 basis points as the inflation rate has also continued to drop drastically.

He noted that a higher interest rate simply means that the interest rate on loans charged by banks would also be high, noting that fewer investors would be willing to borrow at such rate.

“I want to appeal to the MPC to further consider cutting the interest rate further because this would bring down Banks’ interest rate charged on loans.

“However, the implication of this, is that more investors would be willing to borrow money from the banks to do business, thus creating more business activities which translates to creation of job opportunities.” he said.

Nzekwe also urged the Federal Government to look inwardly by creating enabling environment for the manufacturing sector to produce more goods and services in order to reduce country ‘s heavy dependence importation.

NAN reports that the MPC at its 304th meeting held between Feb. 23 and Feb. 24 in Abuja, cut the MPR by 50 basis points representing 26.50 per cent.

The committee also adjusted the asymmetric corridor to +50/-450 basis points around the MPR, retained the Cash Reserve Ratio (CRR) for Deposit Money Banks at 45 per cent and 16 per cent for Merchant Banks, and maintained the Liquidity Ratio at 30 per cent.