CBN raises interest rate to 27.50%

The Central Bank of Nigeria (CBN) has increased the Monetary Policy Rate (MPR) from 27.25 percent to 27.50 percent.

This announcement was made by the CBN Governor, Mr. Olayemi Cardoso, at the conclusion of the Monetary Policy Committee (MPC) meeting held in Abuja this afternoon.

The post-MPC briefing is still ongoing.

Further details to follow.

Recall that on September 24, CBN raised the Monetary Policy Rate, MPR, by 50 basis points from 26. 75% to 27.25%, while retaining the asymmetric corridor of +500/-100 basis points.

Cardoso, who disclosed this at the end of the 154th Monetary Policy Committee, MPC, meeting in Abuja, said the decision to further hike the rate was that of 11 members of the 12-member MPC present at the meeting.

However, small business owners described it then as unfortunate, and capable of further contracting businesses.

They added that as businesses contract, firms will downsize, leading to loss of jobs.