As the Central Bank of Nigeria prepares for its crucial Monetary Policy Committee meeting on May 19 and 20, a growing number of Nigerians are calling for relief from high borrowing costs. According to the CBN’s April 2026 Inflation Expectations Survey, 63.3 per cent of respondents want interest rates reduced, signaling rising public concern over the impact of expensive loans on businesses, households, and economic activities across the country.
The survey, released by the apex bank’s Statistics Department, revealed that while inflation remains a major challenge, many Nigerians believe lower interest rates could ease financial pressure and stimulate economic growth. Only 26 per cent of respondents supported retaining the current rates, while 10.7 per cent preferred another rate hike. The findings come at a time when inflation, exchange rate instability, insecurity, and rising energy costs continue to strain the economy.
Inflation perception among Nigerians worsened sharply in April 2026, with 67.2 per cent of respondents describing inflation as high, compared to 56.4 per cent in March. Rural households and low-income earners appeared to be the hardest hit, as soaring transportation costs, electricity expenses, exchange rate pressures, and infrastructure challenges pushed up the cost of living. Micro businesses also reported severe inflation concerns, highlighting the growing difficulties faced by small enterprises trying to survive under harsh economic conditions.
Economic experts have warned that additional monetary tightening could slow down Nigeria’s fragile recovery. Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Muda Yusuf, cautioned that raising rates further may weaken investments, reduce credit access, and hurt manufacturing and small businesses. He argued that Nigeria’s inflation is largely driven by supply-side problems such as energy costs and logistics bottlenecks, making aggressive interest rate hikes less effective in controlling prices.
Analysts at United Capital Plc also projected that the MPC would likely maintain the current Monetary Policy Rate at 26.5 per cent while monitoring inflation and economic growth risks. With business activities slowing and investor confidence under pressure, many Nigerians will now look to the CBN’s upcoming decision for signs of economic relief and a possible shift toward policies that support growth, jobs, and financial stability.
source: punch