The Central Bank of Nigeria (CBN) has cut its benchmark Monetary Policy Rate (MPR) from 26.5 per cent to 23 per cent.
CBN Governor, Olayemi Cardoso, announced the decision on Tuesday at the conclusion of the Monetary Policy Committee’s (MPC) 307th meeting in Abuja, The News Edition reports.
Cardoso said the committee decided to “reset the monetary policy rate to 23 per cent.”
The latest decision represents a 350-basis-point reduction in the benchmark interest rate and marks a shift from the previous 26.5 per cent rate.
The MPR is the CBN’s key policy interest rate and influences borrowing and lending conditions across the Nigerian financial system.
The rate decision will be closely watched by businesses, investors and consumers because changes in the benchmark rate can affect the cost of credit and broader economic activity.