Breaking News: CBN Increases Interest Rate To 27.5%

The Central Bank of Nigeria, CBN, has raised the monetary policy rate MPR) also known as the interest rate to 27.50 per cent,

The rate was from 27.25 per cent before now with the Central Bank of Nigeria Governor, Olayemi Cardoso saying the increase, the sixth since last February, was an unanimous decision.

It was the 154th Monetary Policy Committee, MPC, meeting with 11 members out of the 12-member MPC present at the meeting supporting the increase.

Speaking at the end of the Monetary Policy Committee meeting in Abuja today, Cardoso said the MPC voted unanimously to raise the MPR by 25 basis points from 27.25% to 27.50%.

It however retained the Cash Reserve Ratio (CRR) at 50% for Deposit Money Banks and 16% for Merchant Banks, he added.

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“The Committee was unanimous in its agreement to raise the monetary policy rate by 25 basis points to 27.50 percent,” Cardoso said.

As for the Liquidity Ratio, the apex bank chief informed that it was retained at 30% and Asymmetric Corridor at +500/-100 basis points around the MPR.

“The considerations of the meeting were held on the backdrop of renewed inflationary pressures as the headline food and core measures rose year on year in October 2024.

“Members therefore agreed unanimously to remain focused on addressing price developments,” Cardoso said.