Organised Private Sector leaders and economists have projected that the Central Bank of Nigeria’s Monetary Policy Committee will most likely retain the Monetary Policy Rate at 26.5 per cent when it meets on Monday and Tuesday, citing heightened geopolitical tensions and their potential impact on inflation.

The stakeholders noted that Nigerian businesses would welcome a rate cut to ease borrowing costs and support investment, particularly in the manufacturing sector, which has struggled under high interest rates.

Their position comes despite a recent CBN Inflation Expectations Survey showing that 61.1 per cent of Nigerians want interest rates reduced ahead of the MPC meeting.

In telephone interviews with The PUNCH, economists and business leaders, including the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, said prevailing global uncertainties, particularly the renewed conflict involving the United States and Iran, made it too early for the apex bank to begin further monetary easing.

“What I expect is a hold because it is possibly too soon to relax the MPR because of the current geopolitical issues. We have seen a very dramatic escalation, and this has implications for major macroeconomic indicators, particularly the general price level. Energy prices feed strongly into inflationary pressures, and crude oil prices have risen above $84. The inflation outlook is looking very disturbing,” Yusuf said.

He added, “It is unlikely there will be a rate cut. It is also not likely that there will be a further increase because the last inflation figure showed only a marginal deceleration. Although I don’t mind a rate cut because interest rates are too high, given the prevailing global conditions, especially the Middle East conflict, people hoping for a rate cut should exercise more patience.”

The President of the Lagos Chamber of Commerce and Industry, Leye Kupoluyi, said businesses would benefit significantly from lower borrowing costs, noting that high interest rates remained a major component of the cost of doing business.

“Everyone wants a reduced interest rate. Interest rate is a major part of the cost of doing business because everybody needs funds for their business. If the interest rate is high, the cost of business will be very high. The lower the interest rate, the better. It will allow businesses to plan and borrow money instead of relying on short-term loans that ultimately increase costs for consumers,” Kupoluyi said.

He, however, urged caution ahead of the MPC decision, saying, “Let’s see what they come up with. We have to look at it both ways. But definitely, for interest rates to come down, it is for the benefit of industry, businesses, and ultimately the customer.”

A Professor of Economics and Public Policy at the University of Uyo, Prof Akpan Ekpo, also predicted that the committee would likely maintain the current rate because of the uncertainty created by the US-Iran conflict.

“Many people would like a reduced interest rate because the MPR is the anchor rate for bank lending. But my worries are the US-Iran war. We don’t know when it is going to end. For that reason, I suspect they might keep the rate the same for a while,” Ekpo said.

He warned that the conflict could worsen inflationary pressures. “If I were with the MPC, I would hold the rate the way it is for now and wait for the next meeting. With the Iran-US war, inflation may go up. When inflation goes up, the MPC would be inclined to increase rates to contain inflation. The government should instead focus on the manufacturing sector so that we can create jobs,” he added.

The Chief Executive Officer of Economic Associates, Dr Ayo Teriba, said while businesses and households desired lower interest rates, the MPC would likely base its decision on data unavailable to the public.

“Every reasonable person wants to see lower interest rates. We have seen stable exchange rates, and inflation has hovered around 15 per cent for six months. But the committee will determine whether this is the right time to ease policy. I don’t have access to the information they have, so I will wait for them to explain whatever decision they take,” Teriba said.

He noted that the conflict in the Middle East had not significantly altered Nigeria’s inflation trend so far but cautioned against pre-empting the committee’s decision. “I’d like to see the monetary policy rate and the CRR come down, but I accept my limitation that I don’t have access to the information available to the MPC. I will wait to be informed by them,” Teriba said.

Businesses have repeatedly argued that high borrowing costs have constrained investment, especially in the manufacturing sector, where operators say access to affordable long-term credit remains critical for expansion, job creation and increased production.

Universal Insurance Plc has paid a total of N1.35bn in insurance claims during the second quarter (Q2) of 2026, stressing its commitment to customer satisfaction and the timely settlement of genuine claims.

The claims were paid across a broad range of the company’s insurance products. The firm said its payout highlights continued focus on building trust through prompt claims settlement.

The beneficiaries cut across several business segments, including agriculture, aviation, bond, engineering, fire, general accident, marine, motor, oil and gas, and special risk insurance.

Commenting on the development, the Managing Director and Chief Executive Officer of Universal Insurance Plc, Dr. Jeff Duru, said the claims payment demonstrates the company’s strong financial position, efficient operations, and unwavering customer-first approach.

According to him, insurance thrives on trust, and one of the clearest ways to sustain that trust is by paying valid claims without unnecessary delays.

“At Universal Insurance Plc, our customers remain at the heart of everything we do. Insurance is built on trust, and nothing demonstrates that trust more than our ability to honour genuine claims promptly. The payment of over N1.35bn in claims within the second quarter of year 2026 is a clear testament to our unwavering commitment to standing by our policyholders in their moments of need,” he said.

Duru stressed that prompt claims settlement remains a key pillar of the company’s strategy as it seeks to strengthen confidence in the insurance industry while providing quality service to individuals, businesses, and corporate organisations.

He noted that every genuine claim received by the insurer is handled with professionalism, transparency, and urgency to enable customers to recover quickly from unexpected losses and resume their businesses and daily activities with minimal disruption.

As part of its growth strategy, Universal Insurance Plc said it will continue to expand its market footprint by introducing innovative insurance products, deploying technology to improve service delivery, and upholding high standards of corporate governance and operational excellence.

The company also urged existing and prospective customers to continue trusting its insurance offerings, assuring them of its commitment to protecting lives, businesses, and investments through dependable insurance solutions backed by prompt claims settlement.

Transcorp Power Plc has navigated a tough operational environment to deliver a Profit Before Tax of N54.99bn, as the company released its unaudited financial results for the first half of 2026.

The company’s performance highlights a robust corporate backbone, sustaining strong profitability even as recurring transmission infrastructure vandalism severely choked its ability to distribute its full generation capacity.

Addressing the half-year numbers, the Managing Director and Chief Executive Officer of the principal subsidiary of the Transnational Corporation Plc, Peter Ikenga, emphasised that the firm successfully protected its core value despite systemic setbacks.

He said, “Our H1 2026 performance is a reflection of the resilience of our business operations despite significant sector-wide existential challenges. Regrettably, recurring transmission line vandalisation materially constrained our ability to evacuate available generation capacity. Nonetheless, we continued to deliver strong profitability, maintain operational efficiency, and strengthen our balance sheet.

For the six months ended 30 June 2026, Transcorp Power recorded a revenue of N181.97bn, a moderate contraction from the N205.81bn posted during the same period in 2025. Similarly, its PBT of N54.99bn dipped slightly from N58.73bn in H1 2025.

However, the power giant expanded its balance sheet significantly. Total assets grew 9.9 per cent to N619.02bn, up from N563.48bn at the end of FY 2025, primarily driven by increases in receivables and strategic borrowings. Shareholders’ funds also climbed 3.2 per cent to N189.34bn, while retained earnings rose 6.4 per cent to hit N140.90bn.

Looking ahead to the remainder of the year, Ikenga expressed strong confidence that the company would achieve its long-term objectives.

“We remain committed to working with relevant stakeholders to put an end to transmission line vandalisation and to further improving operational performance, power generation supply reliability, and creating sustainable value for our shareholders. We remain highly confident that we will recover lost ground in H1 2026 and finish FY 2026 stronger than FY 2025,” he added.

The financial silver lining for the half-year lies in the company’s internal efficiency gains. Despite lower top-line revenues, Transcorp Power managed to widen its margins across the board through tight cost controls. Profit After Tax settled at N38.50bn.

The Chief Finance Officer of Transcorp Power Plc, Evans Okpogoro, broke down the internal metrics that shielded the company’s bottom line.

He said, “Our half-year results show sustained operating discipline in a period of moderated revenue. While revenue stood at N181.97bn and Profit After Tax at N38.50bn, the quality of our earnings improved across every efficiency metric.”

Okpogoro further detailed how the company’s strategic cost-saving measures directly improved its yield quality, noting, “Gross margin expanded to 38.4 per cent from 34.7 per cent in H1 2025. Operating margin increased to 30.6 per cent from 28.5 per cent in 2025, and Profit Before Tax margin increased to 30.2 per cent from 28.5 per cent in 2025. These gains reflect our cost optimisation efforts and disciplined financial management, positioning us to continue delivering sustainable value for our shareholders.”

As Transcorp Power steps into the second half of 2026, its ability to extract higher margins from its operations indicates that if grid stability improves and vandalism eases, the generation company is highly leveraged to meet its aggressive end-of-year growth projections.