CBN withdraws bailout funds of govs playing politics with them

The Central Bank Of Nigeria has taken tough measures against state governors who are playing politics with the Bailout Fund, with a decision to withdraw their allocations. The Governor of the CBN, Mr. Godwin Emefiele, disclosed this while briefing journalists on the outcome of the Monetary Policy Committee, MPC meeting in Abuja, Tuesday.

He also announced a reduction in the Cash Reserve Requirements from 25 per cent 20 per cent in order to increase liquidity in the banking system. Mr. Emefiele, however put a proviso, namely , that the extra funds would be release be to only banks that would get loans to the real sectors of the economy with the aim of generating employment and stimulating growth in the economy.