Business

CBN Holds Interest Rate at 27%

News Update

THE Central Bank of Nigeria has, for the fourth consecutive time this year, held its benchmark interest rate steady at 27 per cent.

The decision was announced by the CBN Governor, Olayemi Cardoso, on Tuesday following the two-day meeting of the Monetary Policy Committee in Abuja.

This move extends a pause in the bank’s aggressive monetary tightening cycle, which saw six rate hikes in 2024 to combat soaring inflation and stabilize the Naira.

Governor Cardoso, addressing the media, stated that the committee voted to maintain the current stance, indicating a continued focus on taming inflation.

“The Committee decided by a majority vote to maintain the monetary policy stance,” Cardoso said, suggesting that members are not yet convinced that economic conditions are stable enough to warrant a rate reduction.

The last change was a modest 50-basis-point cut in September 2025, the only reduction since the current leadership began its tightening policy. The decision to hold rates firm underscores the bank’s ongoing caution despite recent economic pressures.

VAM News

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