- At its 304th meeting in February 2026, the committee reduced the MPR by 50 basis points from 27 per cent to 26.5 per cent
- the decision to keep rates unchanged was influenced by continued inflationary concerns
- The MPC noted the consecutive rise in inflation recorded in March and April
The Monetary Policy Committee (MPC) of the Central Bank of Nigeria has retained the Monetary Policy Rate (MPR) at 26.5 per cent following the conclusion of its 305th meeting attended by all 11 members.
Eko Hot Blog gathered that CBN Governor Olayemi Cardoso announced the decision at the end of the two-day meeting held on May 19 and 20, stating that the committee also left the Standing Facilities Corridor unchanged at +50/-450 basis points around the benchmark rate.
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The MPC maintained all key monetary indicators, reflecting its cautious approach toward managing inflation and sustaining macroeconomic stability.
Under the decision, the Cash Reserve Requirement (CRR) for Deposit Money Banks remains at 45 per cent, while Merchant Banks retain a CRR of 16 per cent. Non-TSA public sector deposits will also continue at 75 per cent.
According to the apex bank, the decision to keep rates unchanged was influenced by continued inflationary concerns and the need to preserve economic stability.
The move comes amid a slight increase in Nigeria’s inflation rate. Data released by the National Bureau of Statistics showed that headline inflation rose to 15.69 per cent in April 2026 from 15.38 per cent recorded in March, reflecting a 0.31 percentage-point increase.
The MPC noted the consecutive rise in inflation recorded in March and Apri, despite earlier signs that inflationary pressures were easing.
Nigeria’s inflation trend has remained a major factor shaping monetary policy decisions in recent months.
At its 304th meeting in February 2026, the committee reduced the MPR by 50 basis points from 27 per cent to 26.5 per cent, marking the first rate cut after a prolonged period of tightening.
During that meeting, the Liquidity Ratio was retained at 30 per cent, while the Standing Facilities Corridor also remained at +50/-450 basis points around the MPR.
The latest decision suggests the CBN is maintaining its focus on inflation control while monitoring the effects of elevated borrowing costs on businesses, exchange-rate stability, and overall economic growth.
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