The Central Bank of Nigeria (CBN) has reduced the Monetary Policy Rate (MPR) by 50 basis points, lowering it to 26.50 percent from 27 percent.
CBN Governor Olayemi Cardoso announced the decision during a press briefing following the Bank’s 304th Monetary Policy Committee (MPC) meeting held on Tuesday. He stated that the decision to cut the rate was unanimously agreed upon by all members of the committee.
According to Cardoso, the MPC retained the Cash Reserve Ratio (CRR) at 45 percent for commercial banks and 16 percent for merchant banks. The 75 percent CRR on non-TSA public sector deposits was also maintained.
He further disclosed that the liquidity ratio remains at 30 percent, while the standing facilities corridor was adjusted to +50/-450 basis points around the MPR.
“The committee decided to reduce the monetary policy rate by 50 basis points to 26.50 percent,” Cardoso said.
The decision marks a shift from November 2025, when the MPC retained the MPR at 27.00 percent. The last rate cut prior to this was in September last year.
Meanwhile, data from the National Bureau of Statistics (NBS) indicated that the country’s inflation rate declined to 15.10 percent in January, down from 15.15 percent previously.
