At the end of its two-day meeting on Tuesday, the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) voted to raise the Monetary Policy Rate (MPR) by 150 basis points to 26.25 percent from 24.75 percent, while maintaining other policy parameters.
This marks the third consecutive rate hike since Olayemi Cardoso assumed the role of governor of the apex bank.
The committee’s decision comes in response to Nigeria’s persistently rising headline inflation, driven primarily by food prices.
According to African health report research, Recent data from the nation’s statistics bureau revealed that headline inflation climbed to 23.69 percent in April.
Cardoso expressed confidence in the measures taken, stating, “The tools the central bank is using are working.
“These are things that need to take their own time. I am confident that we are beginning to get some relief. In another couple of time, we will get a more positive outcome.”
Cardoso also mentioned ongoing discussions with investors aimed at enhancing the robustness and transparency of the financial sector, which he believes will boost investor confidence in the Nigerian market.
