A recent media report quoting First Capital Research points out that they expect a continuation of monetary policy rates at current levels although they recognize an increased probability of 10%t for a rate cut considering the prevailing below par GDP growth and sluggish credit growth.

The Central Bank to keep Statutory Reserve Ratio (SRR) unchanged at 6.00 percent amidst slow economic activities and to allow the impact of a previous rate hike to materialize, First Capital Research expects according to the report.

The Monetary Board of the Central Bank is to announce the monetary policy review No.1 of 2019, tomorrow at 7.30 a.m.

Media reports said that First Capital Research expects 2 rate cuts of 25bps each during 2019 (2Q & 4Q) as overnight Central Bank standing lending facility rate which stands at 9.0 percent, ‘is too high for accelerated economic activity’ according to the belief.