The Central Bank of Nigeria (CBN) has held the Monetary Policy Rate (MPR) steady at 27.5%, opting for a pause amid signs of easing inflation.
CBN Governor Olayemi Cardoso announced the decision on Tuesday following the 300th meeting of the Monetary Policy Committee (MPC) in Abuja.
“The committee unanimously agreed to retain MPR at 27.50 percent,” Cardoso stated at a post-meeting briefing.
Other key monetary parameters were also left unchanged: the Cash Reserve Ratio remains at 50% for commercial banks and 16% for mortgage banks, the Liquidity Ratio stays at 30%, and the asymmetric corridor holds at +500/-100 basis points around the MPR.
Cardoso cited a slight drop in inflation as the reason for the hold. Nigeria’s inflation rate eased to 23.7% in April, according to the National Bureau of Statistics.
This marks the second consecutive time the MPC has resisted hiking rates, having also maintained the 27.5% benchmark in February.
