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HomeAcross The CountryCBN Raises Interest Rate to 27.50%, Retains Key Policy Indicators

CBN Raises Interest Rate to 27.50%, Retains Key Policy Indicators

By Joke Kujenya

THE CENTRAL Bank of Nigeria (CBN), on Tuesday, announces increase in the Monetary Policy Rate (MPR) from 27.25 per cent to 27.50 per cent, aiming to address rising economic challenges.

The decision came during the final Monetary Policy Committee (MPC) meeting of the year, held at the apex bank’s headquarters in Abuja on Tuesday.

Governor Yemi Cardoso, who chaired the session, disclosed that the committee unanimously approved the 25 basis-point hike.

This adjustment aims to stabilise inflationary pressures and sustain financial system resilience.

The MPC maintained the Cash Reserve Ratio (CRR) at 50 per cent for Deposit Money Banks and 16 per cent for Merchant Banks.

The Liquidity Ratio (LR) remains at 30 per cent, alongside an Asymmetric Corridor of +500/-100 basis points around the MPR.

Cardoso explained that the measures were necessary to align monetary policy with prevailing economic realities, ensuring the financial system remains robust while fostering sustainable economic growth.

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