The Central Bank of Nigeria Monetary Policy Committee has retained the country’s interest rate at 27.50 percent in January, the same rate as in November last year amid inflation drops.
It also retained the Cash Reserve Ratio, CRR at 50 basis points and the liquidity ratio, LR, at 30 percent and the asymmetric corridor at +500/-100 basis points around the MPR; other monetary policy decisions were retained.
CBN Governor, Olayemi Cardoso disclosed this in a press briefing on Thursday after 299th MPC in Abuja.
The apex bank boss explained that the rate pause was necessary following the recent inflation decline, which dropped to 24.48 percent in January after the Consumer Price Index rebase.
“The members of the MPC unanimously agreed to retain the interest rate at 27.50 percent” he stated.
Charmingpro reports that this is the first pause in interest rate hikes since Cardoso took office in September 2023.
This comes as economists and financial experts have, in the last months, called for an interest rate pause.
The Centre for the Promotion of Private Enterprise has been championing a call for a pause in the nation’s interest rate hike.
Recall that on Tuesday, National Bureau of Statistics announced that Nigeria’s headline and food inflation rate dropped to 24.48 percent and 26.08 percent in January from 34.80 percent and 39.93 percent in December last year