The Central Bank of Nigeria has maintained its benchmark interest rate at 27.5%, signaling a continued commitment to controlling inflation and stabilizing the economy.
This decision was announced on Tuesday by the CBN Governor, Olayemi Cardoso, following the 300th meeting of the Monetary Policy Committee held in Abuja.
According to Cardoso, the committee unanimously agreed to hold all monetary policy parameters unchanged. “After careful consideration of the current economic indicators and inflationary trends, the committee resolved to retain the Monetary Policy Rate (MPR) at 27.5%. All other parameters were also held constant,” he stated.
The retention marks the second consecutive time in 2025 that the CBN has paused interest rate hikes, following a series of six consecutive increases in 2024 aimed at curbing soaring inflation.
Cardoso emphasized that the decision reflects the MPC’s cautious approach, noting that “a pause provides the committee time to assess the impact of previous rate hikes on inflation and economic growth.”
The Central Bank had aggressively raised interest rates throughout 2024 as part of efforts to tame inflation and stabilize the naira, but analysts suggest the back-to-back pauses may indicate early signs of monetary easing later in the year—should economic conditions permit.
