CBN Raises Interest Rate

The Central Bank of Nigeria (CBN) has raised the Monetary Policy Rate (MPR), which is the official interest rate, by yet another 100 basis points to hit 16.5 percent from 15.5 percent around other parameters.

The Monetary Policy Committee (MPC) of the apex Bank announced the decision on Tuesday at the end of its bi-monthly meeting in Abuja.

CBN governor, Godwin Emefiele, who chaired the meeting, said MPC took the decision to moderately tighten the rates to ensure the gains of the past tightening were not eroded by listening or holding of the rates.

11 members of the committee attended the meeting. While 10 members voted to increase the MPR by 100 basis points, one member voted for a reduction.