World Bank to CBN, others: prepare for recession
The World Bank Group yesterday warned the Central Bank of Nigeria (CBN), and other central banks across the world on the possibility of global economic recession, following simultaneous hike of interest rates.
The CBN had at the last Monetary Policy Committee (MPC) meeting in July in Abuja raised the benchmark interest rate from 13.5 per cent to 14 per cent.
In a report tilted: Risk of Global Recession in 2023 Rises Amid Simultaneous Rate Hikes, World Bank Group President David Malpass, said that central banks’ simultaneous hike of interest rates in response to inflation, will push the world economies toward a global recession in 2023.
- The decision would also lead to a string of financial crises in emerging market and developing economies that would do them lasting harm, according to a comprehensive new study by the World Bank
