The Central Bank of Nigeria (CBN) policy-setting committee has raised the monetary policy rate (MPR), which measures interest rate, from 18 percent to 18.5 percent.
Recall that the MPC had in March voted to increase the benchmark interest rate by 50 basis points to 18 per cent.
Announcing the new interest rate increase on Wednesday, May 24, CBN Governor Godwin Emefiele said the committee voted to keep the asymmetric corridor at +100 and -700 basis points around the MPR.
Emefiele also blamed the rising inflation rate on high energy cost and challenges around the supply chain, among others, which are beyond the reach of the CBN.
“The current trend in price development would continue to be monitored by the bank with greater collaboration with fiscal authority to address the drivers of inflation.”