Nigeria’s Central Bank (CBN) has opted to maintain its benchmark Monetary Policy Rate (MPR) at 27.5%, marking no change in borrowing costs for now. CBN Governor Olayemi Cardoso announced the decision during a press briefing in Abuja following the conclusion of the 300th Monetary Policy Committee (MPC) meeting.
“All 12 members of the Committee were present, and the decision of the committee was unanimous to maintain rates at 27.5% and cash reserve ratio for Deposit Money Banks at 50% and 16% for merchant banks,” Cardoso stated.
He further clarified that the banking sector’s liquidity ratio would remain unchanged at 30%, reinforcing existing financial stability measures.
The governor attributed the MPC’s stance to recent improvements in curbing food price surges and advancements in addressing security challenges affecting agricultural regions.
“The Committee’s decision was hinged on the moderation of food inflation and success in the fight against insecurity, especially in farming communities,” Cardoso emphasized.
The announcement reflects the CBN’s cautious approach amid efforts to balance inflation control with economic growth, as policymakers signal confidence in current strategies.
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