Members of the Organised Private Sector and economists have expressed fear over the latest hike in the nation’s benchmark interest (Monetary Policy Rate) by the Monetary Policy Committee, saying the decision could significantly hamper economic operators’ ability to repay their loans.

At the end of its 295th meeting on Tuesday, the Governor of the Central Bank of Nigeria, Olayemi Cardoso, who also doubles as the chairman of the MPC, announced the decision of the committee.

The MPC raised the interest rate by 150 basis points to 26.25 per cent from 24.74 per cent.

Tuesday’s MPR hike became the third consecutive rise in the benchmark interest rate this year.

However, members of the OPS and economists on Monday opposed the rake hike, saying it would worsen the business and economic environment as well as worsen the loan repayment crisis.

Meanwhile, the National Vice Chairman of the Nigerian Association of Small-Scale Industrialists, Segun Kuti-George, condemned the MPC interest rate hike.

Kuti-George said it was insensitive to keep raising the interest rates at a time when many businesses were relying on credit to survive.