The Central Bank of Nigeria’s Monetary Policy Committee cuts the interest rate to 27%, adjusts cash reserve requirements, and maintains liquidity ratio amid macroeconomic stability.
The Central Bank of Nigeria (CBN), through its Monetary Policy Committee (MPC), on Tuesday, reduced the monetary policy interest rate to 27%, down from 27.5% in July.
The committee also adjusted the cash reserve requirement (CRR), lowering it to 45% for commercial banks and 16% for merchant banks. Additionally, a 75% CRR was introduced on non-TSA public sector deposits. The liquidity ratio was left unchanged at 30%.
The MPC noted that macroeconomic stability in the country remains strong, citing improvements in key indicators such as:
- Sustained disinflation
- Improved output growth
- Stable exchange rates
- Robust external reserves
The committee emphasised that it will continue to monitor economic conditions closely and take necessary actions to maintain a balance between price stability and growth objectives for the rest of 2025.
“Our objective is to ensure a stable macroeconomic environment while supporting sustainable growth for Nigeria’s economy,” the MPC said in a statement.
The latest adjustments come as part of the CBN’s ongoing efforts to stimulate economic activity, manage liquidity in the financial system, and support growth without compromising price stability.
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