CBN raises lending rate to 27.5%
CBN Building
Nike Popoola
The Central Bank of Nigeria (CBN), on Tuesday, raised the Monetary Policy rate (MPR) by 25 basis points to 27.5 per cent at the 298th Monetary Policy Committee (MPC) meeting.
The CBN Governor, Olayemi Cardoso, announced at a press briefing after the two-day MPC meeting which commenced in Abuja on Monday.
He also announced that the Cash Reserve Ratio was retained at 50 basis points, from 45 per cent to 50 per cent for Deposit Money Banks (DMB) and from 14 per cent to 16 per cent for merchant banks.
The committee retained the liquidity ratio at 30 per cent and the asymmetric corridor at +500/-100 basis points around the MPR.
According to Cardoso, the decision to raise the lending rate was part of efforts to tame the inflation rate in the country.
