By Kazeem Ugbodaga
The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) has unanimously decided to maintain the current monetary policy framework during its latest meeting.
The committee resolved to keep the Monetary Policy Rate (MPR) steady at 27.50%, signalling a cautious approach amid ongoing economic challenges.
In addition to holding the MPR, the MPC also retained the Cash Reserve Ratio (CRR) at 50% for Deposit Money Banks and 16% for Merchant Banks.
The Liquidity Ratio (LR) remains unchanged at 30%, while the asymmetric corridor is maintained at +500/-100 basis points around the MPR.
The decision reflects the CBN committee’s commitment to sustaining price stability and managing inflationary pressures, while carefully balancing growth objectives within Nigeria’s complex economic environment.
Analysts suggest that maintaining these rates is intended to support monetary stability and ensure liquidity control, particularly in the face of persistent inflation and external economic shocks.
The CBN’s approach indicates a measured stance as it navigates the challenges of stimulating economic growth while guarding against inflationary risks.
