The Central Bank of Nigeria (CBN) has raised its benchmark interest rate by 25 basis points, moving from 27.25% to 27.50%.
CBN Governor Olayemi Cardoso announced the decision at the conclusion of the two-day 298th Monetary Policy Committee (MPC) meeting in Abuja on Tuesday, Nov. 26.
Cardoso also revealed that all members voted to maintain the asymmetric corridor at +500 to -100 basis points. The CBN’s foreign reserves increased to $40.88 billion as of November 21, 2024, up from $40.06 billion at the end of October.
The MPC decided to keep the Cash Reserve Ratio (CRR) for deposit money banks at 15%, and the liquidity ratio at 30%.
In September, the MPC had raised the Monetary Policy Rate (MPR) by 50 basis points, from 26.75% to 27.25%.
Cardoso explained that the increase in the MPR was aimed at controlling the persistent rise in food inflation and overall inflation.
