CBN Gears Up for Historic 300th MPC Meeting Amid Signs of Economic Recover
The Central Bank of Nigeria (CBN) is set to hold its 300th Monetary Policy Committee (MPC) meeting on May 19–20, 2025, marking a significant milestone in Nigeria’s economic governance. Scheduled at the CBN’s headquarters in Abuja, the meeting comes at a time when key macroeconomic indicators are beginning to reflect cautious signs of recovery. This gathering will be chaired by CBN Governor Olayemi Cardoso and is expected to play a pivotal role in shaping the nation’s monetary direction going forward.
At the last MPC meeting in February, the committee chose to maintain the Monetary Policy Rate (MPR) at 27.5 percent. This decision followed a revision by the National Bureau of Statistics (NBS), which rebased the Consumer Price Index (CPI), resulting in a notable drop in the inflation rate from 34.8 percent to 24.48 percent. Other key instruments—Cash Reserve Ratio (CRR) and Liquidity Ratio—were also held steady at 50 percent and 30 percent respectively, underscoring the CBN’s cautious stance.
Governor Cardoso expressed optimism at the time, pointing to improvements in the foreign exchange market and a gradual decline in the price of Premium Motor Spirit (PMS). These factors, he noted, could contribute positively to price stability in the medium term. The MPC sees these early gains as evidence that recent economic reforms are beginning to take hold, though it acknowledged the road to full recovery remains long.
Crucially, Cardoso emphasized the importance of continued collaboration between fiscal and monetary policymakers. He argued that synergy between both arms of economic management is essential to reinforce stability and support sustainable growth. While progress has been made, the governor stressed that consistent policy coordination will be vital to avoid derailment of the ongoing recovery.
With the upcoming MPC meeting likely to be closely watched by stakeholders across the financial landscape, expectations are building around whether the CBN will stay its current course or adjust its monetary tools. As the economy edges out of turbulence, the central bank’s actions could signal either a tightening or loosening phase, depending on fresh data and global trends.
Source: The Sun