The Monetary Policy Committee (MPC) of the Central Bank of Nigeria has retained the Monetary Policy Rate (MPR) at 27.5 per cent, keeping all other key policy parameters unchanged.

The decision was announced by CBN Governor Olayemi Cardoso following the committee’s meeting held on 19 and 20 May.

The MPC also maintained the asymmetric corridor around the MPR at +500/-100 basis points, kept the Cash Reserve Ratio at 50 per cent for deposit money banks and 16 per cent for merchant banks, and left the Liquidity Ratio at 30 per cent.

Cardoso cited April’s inflation figures from the National Bureau of Statistics, which showed a decline in headline inflation to 23.71 per cent, down from 24.23 per cent in March. Food inflation—the largest component of the consumer basket—also eased slightly to 21.26 per cent.

He attributed the moderation to improved food supply, praising the Federal Government’s interventions and ongoing security efforts in farming communities.

“The MPC encourages security agencies to sustain these efforts, and calls on the government to ensure adequate protection for farmers to further boost domestic food production,” he said.

Nonetheless, the committee acknowledged lingering inflationary pressures, including high energy costs, foreign exchange market challenges, and structural bottlenecks.

The MPC expressed support for recent federal policies aimed at enhancing local production and reducing dependence on imported goods.

“With relative stability returning to the FX market, we urge the Bank to stay the course on current reforms to sustain economic recovery,” Cardoso added.