The Monetary Policy Committee of the Central Bank of Nigeria has unanimously voted to increase the benchmark interest rate (monetary policy rate) to 15.5% from 14%, being the third hawkish move by the apex bank in 2022 following the rising rate of inflation.
The latest move by the MPC is the highest in 20 years.
This was disclosed by the Governor of the CBN, Godwin Emefiele, while reading the communique of the monetary policy committee meeting of the year, on Tuesday 27th September 2022.
Highlights of the committee’s decision
- MPR raised by 150 basis points from 14% to 15.5%.
- The asymmetric corridor of +100/-700 basis points around the MPR was retained.
- CRR was raised to a minimum of 32.5%.
- The liquidity Ratio was also kept at 30%