TUE NOV 25 2025-theGBJournal| The Central Bank of Nigeria (CBN) has held interest rates at 27%, in a widely expected move.
The decision is taken by 12 members of the apex bank’s Monetary Policy Committee (MPC) at their 303rd meeting, the last meeting for 2025.
The Committee decided by a majority vote to retain the Monetary Policy Rate at 27.0, adjust the asymmetric corridor around the MPR to +50bps/-450bps (previous: +250bps/-250bps, retain the CRR for Deposit Money Banks at 45%, Merchant Banks at 16% and 75% for non-Treasury Single Account (TSA) public sector deposits, and keep the liquidity rate at 30.0%.
The CBN Governor, Yemi Cardoso said the decision was underpinned by the need to sustain the progress made so far towards achieving low and stable inflation, which is at 16.05% as at September 2025.
He said future policy decision by the MPC will be guided by a data driven assessment of development and outlook.
The CBN Governor noted that the MPC considered and welcomed the continued deceleration in headline inflation year-on year in October 2025, for the seventh consecutive month, a result of consistent monetary policy tightening, stable exchange rate, capital flows and surplus current account balance.
”In addition, the relative stability in premium motor spirit (PMS), and improved food supply supported the pace of disinflation.” the CBN Governor adds.
”However, headline inflation remains at double digit, requiring sustained effort towards moderating it further.”
He said the MPC was of the view that the steady deceleration in inflation across the three majors, headline, core and food in October 2025, suggests that the large impact of previous policy measures is expected to continue in the near-term.
Meanhwile, notable in the MPC decision, is the significant adjustment seen around the asymmetric corridor of the MPR, which is adjusted from +250/-250 basis in the September meeting to +50bps/-450bps.
This is expected to encourage interbank lending, with low incentive to deposit their too much (excess) cash in the CBN vault.
Similarly, the move will effectively help sterilize excess liquidity without giving banks attractive rate to deposit with the CBN.
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