May 20, (THEWILL) – The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) has retained the benchmark interest rate at 27.50%.
The benchmark interest rate, also called the monetary policy rate (MPR), determines the cost of borrowing in the economy. It can be considered the interest rate the CBN uses to lend to banks, which then lend to customers at a higher rate.
The apex bank, at its last 299th MPC meeting, held on February 18 and 19, retained the monetary policy rate (MPR) at 27.50%.
Speaking on Tuesday, at the end of the 300th MPC meeting in Abuja, CBN Governor, Olayemi Cardoso, said the committee was unanimous in its decision to hold all parameters.
He said: “The Monetary Policy Committee (MPC) voted unanimously to retain the Monetary Policy Rate (MPR) at 27.50%; retain the Cash Reserve Ratio (CRR) at 50% for Deposit Money Banks and 16% for Merchant Banks.
“The Committee retains the Liquidity Ratio (LR) at 30% and the Asymmetric Corridor at +500/-100 basis points around the MPR.”
The retention came amid a deceleration in inflation in April.
THEWILL reports that the National Bureau of Statistics (NBS) had reported on Thursday that Nigeria’s headline inflation dropped to 23.71% in April 2025 from 24.23% recorded in March. The Bureau also said the food inflation rate in April 2025, recorded 21.26% on a year-on-year basis; 19.27% points lower compared to the rate recorded in April 2024 (40.53%). On a month-on-month basis, “Food inflation rate in April 2025 was 2.06%, down by 0.12% compared to March 2025 (2.18%).
Felix Ifijeh is a journalist with years of professional reporting experience. Known for his keen news sense, compelling storytelling and commitment to accurate, impactful reporting, he has built a reputation for turning leads into clear, engaging, and well-structured reports that resonate with readers. His work reflects deep newsroom experience and a commitment to accurate, impactful journalism.
