The Central Bank of Nigeria (CBN) on Tuesday raised its benchmark interest rate, also known as the Monetary Policy Rate (MPR) to 22.75 percent, for the first time in eight months. The Cash Reserve Ratio (CRR) was increased to 45 percent.
Olayemi Cardoso, Governor of the CBN, who chaired the Monetary Policy Committee (MPC) meeting disclosed this at the end of the first meeting of the Committee.
He said the move was in a bid to tame inflation
“The committee raised the MPR by 400 basis points to 22.75 percent, and adjusted the asymmetric corridor at +100 and -700 basis points from +100 basis points and -300 basis points around the MPR.”
He said the committee also increased the cash reserve ratio (CRR) from 32.5 percent to 45 percent, while retaining the liquidity rate at 30 percent.
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