The Central Bank of Nigeria (CBN) has raised its benchmark interest rate by 25 basis points, moving it from 27.25% to 27.50%, in its continued effort to address inflationary pressures.
CBN Governor Olayemi Cardoso made the announcement following the 298th Monetary Policy Committee (MPC) meeting held in Abuja on Tuesday, November 26. Cardoso noted that all committee members agreed to maintain the asymmetric corridor at +500/-100 basis points.
The apex bank also reported a rise in foreign reserves, which stood at $40.88 billion as of November 21, up from $40.06 billion in October. Additionally, the Cash Reserve Ratio for deposit money banks remains unchanged at 15%, while the liquidity ratio is retained at 30%.
This latest hike follows a previous increase in September, where the Monetary Policy Rate (MPR) was raised by 50 basis points to 27.25%. Speaking on the decision, Cardoso emphasized the need for aggressive monetary measures to combat rising food and headline inflation, which continue to impact Nigeria's economy.
