The Central Bank of Nigeria (CBN) has reduced the Monetary Policy Rate (MPR) by 50 basis points to 26.50 per cent from 27 per cent.
CBN Governor, Olayemi Cardoso, announced the decision on Tuesday while addressing journalists after the 304th meeting of the Monetary Policy Committee (MPC).
Cardoso said the rate cut was unanimously adopted by all members of the committee.
He explained that the MPC retained the Cash Reserve Ratio (CRR) at 45 per cent for commercial banks and 16 per cent for merchant banks. The 75 per cent CRR on non-Treasury Single Account (non-TSA) public sector deposits was also maintained.
In addition, the committee left the liquidity ratio unchanged at 30 per cent and adjusted the standing facilities corridor to +50/-450 basis points around the MPR.
“The committee decided to reduce the monetary policy rate by 50 basis points to 26.50 per cent,” Cardoso stated.
It would be recalled that in November 2025, the MPC held the MPR at 27.00 per cent. The last adjustment before Tuesday’s decision was in September 2025.
According to the National Bureau of Statistics, Nigeria’s inflation rate eased to 15.10 per cent in January, down from 15.15 per cent recorded previously.
