BREAKING: CBN Slashes Interest Rate After Key MPC Meeting

According to Ireporter Online, the decision was disclosed by the Governor of the apex bank, Olayemi Cardoso, during a press briefing held at the conclusion of the 304th meeting of the Monetary Policy Committee (MPC). Cardoso revealed that members of the committee unanimously agreed to lower the benchmark interest rate.

Despite the adjustment to the MPR, the committee retained other key monetary parameters. The Cash Reserve Ratio (CRR) was maintained at 45 per cent for commercial banks and 16 per cent for merchant banks. The 75 per cent CRR on non-Treasury Single Account public sector deposits was also left unchanged.

The CBN governor further stated that the liquidity ratio remains at 30 per cent. However, the standing facilities corridor was modified to +50/-450 basis points around the Monetary Policy Rate.

“The committee decided to reduce the monetary policy rate by 50 basis points to 26.50 per cent,” Cardoso affirmed while addressing journalists.

The latest move represents the first rate cut in several months. At its November 2025 meeting, the MPC had retained the MPR at 27 per cent in a bid to sustain its fight against inflationary pressures. The previous downward adjustment to the rate was recorded in September last year.

Meanwhile, recent data released by the National Bureau of Statistics (NBS) showed a marginal decline in the nation’s inflation rate, which eased to 15.10 per cent in January from 15.15 per cent previously recorded, a development that may have influenced the committee’s decision.