The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) has announced a significant increase in the benchmark interest rate, raising it by 400 basis points from 18.5 percent to 22.5 percent.
CBN Governor Yemi Cardoso revealed the decision following the MPC meeting, marking his first since assuming the position as the apex bank governor. The move aims to address the persistent challenge of stubborn inflation, which has shown limited response to previous marginal increases in interest rates.
By raising the benchmark interest rate, the CBN seeks to curb inflationary trends and promote price stability, thereby safeguarding the purchasing power of the Naira and fostering sustainable economic growth.
Source: Parrot Nigeria