CBN MPC cuts benchmark interest rate to 12.5%

The monetary policy committee of the Central Bank of Nigeria (CBN) has reduced the monetary policy rate to 12.5% from 13.5%.

Godwin Emefiele, governor of the apex bank, announced the committee’s decision on Thursday at the end of the committee’s meeting.

Emefiele said the committee was of the opinion that tightening would be “inappropriate” given the economic disruptions caused by the COVID-19 pandemic.

Cash reserve ratio (CRR) was retained at 27.5% and liquidity ratio at 30%.