The Central Bank of Nigeria (CBN) on Tuesday, February 24, reduced the Monetary Policy Rate (MPR) by 50 basis points to 26.50 per cent, down from 27 per cent.
Naija News reports that the decision was announced by the Governor of the apex bank, Olayemi Cardoso, at a press briefing following the 304th meeting of the Monetary Policy Committee.
According to Cardoso, the decision to ease the benchmark interest rate was unanimously agreed upon by all members of the committee.
While announcing the rate cut, the CBN boss said other key monetary policy parameters were left unchanged.
He stated that the committee retained the Cash Reserve Ratio at 45 per cent for commercial banks and 16 per cent for merchant banks.
The 75 per cent CRR on non-Treasury Single Account public sector deposits was also maintained.
Cardoso further disclosed that the liquidity ratio was retained at 30 per cent, while the standing facilities corridor was adjusted to +50/-450 basis points around the Monetary Policy Rate.
“The committee decided to reduce the monetary policy rate by 50 basis points to 26.50 per cent,” he said.
The development marks the first interest rate cut in several months.
Naija News recalls that at its November 2025 meeting, the MPC retained the MPR at 27.00 per cent, maintaining a tight monetary stance amid inflationary pressures.
The last time the apex bank adjusted the rate downward was in September last year.
Meanwhile, data from the National Bureau of Statistics (NBS) indicated that the country’s inflation rate dropped slightly in January to 15.10 per cent from 15.15 per cent recorded previously.
