The Monetary Policy Committee (MPC) of the Central Bank of Nigeria has voted to increase the benchmark interest rate (MPR) by 100 basis points to 16.5 percent, the highest level since 2001. 

This was revealed by the Governor of the CBN, Godwin Emefiele, while reading the communiqué of the last MPC meeting of the year. 

Nigeria’s inflation rate rose to 21.09 percent in October 2022 from 20.77 percent recorded in the previous month, an indication of a further rise in the cost of goods and services, despite the hawkish move by the CBN in the past six months.  

During the meeting, the MPC noted that the tightening will help restore investors’ confidence whilst curbing higher rate of inflation. 

Recall, that the apex bank had increased the MPR from 11.5 percent earlier this year to 15.5 percent across three consecutive rate hikes.