The Monetary Policy Committee of the Central Bank of Nigeria raised the benchmark interest rate to 26.25 percent.
This was reported by the Governor of the Central Bank of Nigeria, who also serves as Chairman of the MPC, at the conclusion of the 295th MPC meeting in Abuja.
At the March MPC meeting, the benchmark rate had been increased by 200 basis points from 22.75 per cent to 24.75 per cent.
The MPC has maintained a hawkish stance since it resumed meetings this year in a bid to tackle Nigeria’s persistent inflation.
As of April, Nigeria’s inflation rate had risen to 33.69 per cent.
A number of analysts have projected a rate hike while some suggested that the apex bank may consider a hold stance as the growth rate of inflation moderated month-on-month.
Details later…