The Central Bank of Nigeria (CBN) has reduced its Monetary Policy Rate (MPR) by 50 basis points — from 27.5% to 27% — following its 302nd Monetary Policy Committee meeting held on September 22–23, 2025.
CBN Governor Dr. Olayemi Cardoso explained that the decision was driven by five consecutive months of disinflation, positive inflation projections for the rest of the year, and a desire to further support economic stability.
Key highlights from the meeting:
- MPR: Reduced to 27%
- Asymmetric corridor: Retained at +260/-250 basis points
- CRR (Cash Reserve Ratio): Lowered to 45% for commercial banks, retained at 16% for merchant banks
- CRR on non-TSA public sector deposits: Introduced at 75%
- Liquidity ratio: Maintained at 30%
The move signals a cautious yet supportive stance toward sustaining macroeconomic growth while managing liquidity.
