The Central Bank of Nigeria (CBN) has raised the Monetary Policy Rate (MPR) by 250 basis points from 27.25% to 27.50%.
The decision was taken at the 298th meeting of the Monetary Policy Committee (MPC) according to a statement released by the CBN on Tuesday.
The statement disclosed further that the Cash Reserve Ratio (CRR) was retained at 50% for Deposit Money Banks and 16% for Merchant Banks by the MPC.
“The Monetary Policy Committee (MPC) Voted unanimously to raise Monetary Policy Rate (MPR) by 250 basis point from 27.25% to 27.50%; retain Cash Reserve Ratio (CRR) at 50% for Deposit Money Banks and 16% for Merchant Banks. The Committee also retains the Liquidity Ratio (LR) at 30% and Asymmetric Corridor at +500/-100 basis points around the MPR,” the CBN statement shared via its official account on the X platform read.
The MPC meeting which was presided over by the CBN Governor, Olayemi Cardoso, urged monetary and fiscal authorities in the country to deepen collaboration to achieve price stability.
The MPC also noted that the cost of petrol has continued to impact manufacturers’ production costs.
Meanwhile, the Central Bank of Nigeria (CBN) has instructed commercial banks to prioritize cash disbursements through automated teller machines (ATMs), warning that institutions failing to comply would face penalties.
In a statement issued by the Acting Director of the Currency Operations Department at the CBN, Solaja Olayemi, the apex bank emphasized the need to ensure easier access to cash for Nigerians amidst reports of scarcity.
The CBN also cautioned against supplying naira notes to individuals or groups involved in the illegal hawking of currency.
The directive comes as citizens lament the scarcity of cash, which has disrupted transactions and heightened economic uncertainty.
In the circular signed by Olayemi, the apex bank said it commenced spot checks to ensure efficient and responsible cash disbursement to the public and prevent the disbursement of mint banknotes to persons hawking naira notes.
