The Monetary Policy Committee of the Central Bank of Nigeria has voted to increase the monetary policy rate, which measures the benchmark interest rate, to 27.25 per cent.
The monetary policy rate is the baseline interest rate in an economy.
Every other interest rate used within an economy is built on the MPR.
Addressing journalists at an ongoing press briefing after the committee’s fifth meeting for the year at the CBN headquarters on Tuesday in Abuja, the governor of the apex bank, Olayemi Cardoso, said the committee members unanimously decided to further tighten monetary policy.
This new rate is an increase of 50 basis points from 26.75 per cent announced by the apex bank in July 2024.
The new rate reflects an 8.5 per cent increase in interest rates under the current leadership, which took office a year ago.