The Central Bank of Nigeria (CBN) on Tuesday announced a 50-basis point reduction in the Monetary Policy Rate (MPR), lowering it from 27.5 percent to 27 percent, as part of efforts to strengthen economic recovery and consolidate disinflation gains.

Governor of the Bank, Mr. Olayemi Cardoso, disclosed the decision during a post-Monetary Policy Committee (MPC) briefing in Abuja, following the Committee’s 302nd meeting.

  • MPR reduced by 50 basis points to 27 percent.
  • Standing facilities corridor adjusted to +250/-250 basis points to enhance interbank market efficiency and monetary policy transmission.
  • Cash Reserve Ratio (CRR) for commercial banks set at 45 percent, while that for merchant banks remains 16 percent.
  • A 75 percent CRR was introduced on non-Treasury Single Account (TSA) public sector deposits.
  • Liquidity Ratio retained at 30 percent.

Cardoso explained that the MPR cut reflects sustained disinflation over the past five months and projected further declines in inflation through the remainder of 2025. The adjustments to the standing facilities corridor are intended to improve liquidity management and provide clearer signals to financial markets.

The move comes after the National Bureau of Statistics (NBS) reported that Nigeria’s inflation eased to 20.12 percent in August 2025, down from 21.88 percent in July, signaling that previous rounds of monetary tightening are yielding results.

In addition, Nigeria’s real GDP grew by 4.23 percent in Q2 2025, driven by strong performances in both oil and non-oil sectors. External reserves have also risen to nearly $42 billion, providing additional buffers for monetary stability.

Economic analysts welcomed the measures, noting that moderation in inflation justifies a cautious easing of monetary conditions. Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), said the decision would help stimulate credit flow, particularly to small and medium enterprises (SMEs) and critical sectors.

He urged the CBN to “Calibrate CRR and MPR downward as inflation moderates to create a more enabling credit environment. Complement monetary tightening with supply-side measures to address structural inflation drivers.” Dr. Yusuf noted that while the CBN’s tight monetary stance has curbed inflation, it has also limited access to affordable credit for businesses and households.

The CBN stressed that the package of measures balances the need to sustain disinflation with the requirement to maintain adequate liquidity in the banking sector to support economic growth.

______________________________________________________________________ “Bridging Theory And Courtroom Practice” — Hagler Sunny Okorie, Nathaniel Ngozi Ikeocha Unveil ‘Functional’ Tort Law Book For Nigerian Legal System The book, titled The Law of Torts in Nigeria: A Functional Approach, authored by Professor Hagler Sunny Okorie Ph.D and Ikeocha, Nathaniel Ngozi Esq, offers law students, practitioners, and academics a comprehensive guide to understanding and applying tort law in Nigerian courts. Interested buyers can place orders via the following contact numbers: 08028636615, 08037667945, 08032253813, or +234 902 196 2209. ______________________________________________________________________ [A MUST HAVE] Evidence Act Demystified With Recent And Contemporary Cases And Materials
“Evidence Act: Complete Annotation” by renowned legal experts Sanni & Etti.
Available now for NGN 40,000 at ASC Publications, 10, Boyle Street, Onikan, Lagos. Beside High Court, TBS. Email publications@ayindesanni.com or WhatsApp +2347056667384. Purchase Link: https://paystack.com/buy/evidence-act-complete-annotation ______________________________________________________________________ ARTIFICIAL INTELLIGENCE FOR LAWYERS: A COMPREHENSIVE GUIDE Reimagine your practice with the power of AI “...this is the only Nigerian book I know of on the topic.” — Ohio Books Ltd Authored by Ben Ijeoma Adigwe, Esq., ACIArb (UK), LL.M, Dip. in Artificial Intelligence, Director, Delta State Ministry of Justice, Asaba, Nigeria. Bonus: Get a FREE eBook titled “How to Use the AI in Legalpedia and Law Pavilion” with every purchase.

How to Order: 📞 Call, Text, or WhatsApp: 08034917063 | 07055285878 📧 Email: benadigwe1@gmail.com 🌐 Website: www.benadigwe.com

Ebook Version: Access directly online at: https://selar.com/prv626

________________________________________________________________________ The Law And Practice Of Redundancy In Nigeria: A Practitioner’s Guide, Authored By A Labour & Employment Law Expert Bimbo Atilola _______________________________________________________________________ “Enhance Legal Practice With Authoritative Reports” — Alexander Payne Offers Comprehensive Law Reports, Spanning Over A Century Of Nigerian Jurisprudence

Interested buyers are encouraged to place their orders and enquiries via: 0704 444 4777, 0704 444 4999, 0818 199 9888 Website: www.alexandernigeria.com