The Central Bank of Nigeria (CBN) has reduced the monetary policy rate (MPR) from 27% to 26.5%, marking the lowest rate since May 2024.
This decision was announced by CBN Governor Olayemi Cardoso during the 304th meeting of the Monetary Policy Committee (MPC) in Abuja.
The rate cut is aimed at supporting economic growth and recovery efforts, as the committee noted sustained disinflation in the past few months.
The decision was unanimous among the 11 members present at the meeting.
The CBN also retained the cash reserve requirements for deposit money banks at 45% and merchant banks at 16%, while maintaining the liquidity ratio at 30%.
The standing facilities corridor was adjusted to +50 to -450 basis points around the MPR.
This move is expected to improve financing conditions, particularly for non-oil sectors driving growth.
