The Central Bank of Nigeria (CBN) has reduced its benchmark interest rate from 27.5% to 27%, marking the first adjustment of 2025.
The decision was announced by CBN Governor Olayemi Cardoso on Tuesday in Abuja, following the conclusion of the Monetary Policy Committee’s (MPC) 302nd meeting.
Cardoso explained that the rate cut was aimed at balancing Nigeria’s persistent inflationary pressures with the need to encourage economic growth.
“This adjustment reflects the Committee’s assessment of current economic realities and its resolve to provide stability while creating room for sustainable growth,” he said.
The MPC’s move is expected to ripple through Nigeria’s financial markets, potentially affecting borrowing costs, consumer spending, and investor sentiment in the months ahead.
