To combat growing inflation, the Central Bank of Nigeria (CBN) policy-setting council increased the monetary policy rate (MPR), which measures interest rates, from 14% to 15.5%.
In July, the interest rate increased from 13% to 14%. The monetary policy rate (MPR) is the baseline interest rate in an economy, upon which all other interest rates are based.
Godwin Emefiele, governor of the Central Bank of Nigeria, told media on Tuesday following the committee’s meeting at the CBN headquarters in Abuja that ten members of the committee voted in favour of the rate rise.
Nigeria’s inflation rate reached an almost two-decade high of 20.52% in August.
More to follow…