The Monetary Policy Committee (MPC) of the Central Bank of Nigeria has announced a decision to increase the benchmark interest rate by 25 basis points, bringing it to 18.75 per cent.
The announcement was made by Acting CBN Governor, Folashodun Shonubi, during the communiqué of the fourth MPC meeting of the year held on Tuesday.
“In summary, the MPR voted to raise the policy rate by 25 basis points from 18.5 to 18.75 per cent,” said Mr. Shonubi while addressing journalists at the conclusion of the two-day meeting in Abuja.
Additionally, the committee voted to adjust the asymmetric corridor at +100 and -300 basis points around the MPR.
This decision comes amid divergent expectations from analysts leading up to the MPC meeting, which marked the first meeting after the suspension of Godwin Emefiele as the governor of the CBN.
The CBN began its monetary policy tightening cycle in May 2022, witnessing a gradual rise in the benchmark interest rate from 11.5 per cent to 18.5 per cent in May of this year.
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