The Central Bank of Nigeria (CBN)’s Monetary Policy Committee (MPC) has implemented a significant adjustment, raising the Monetary Policy Rate (MPR) by 400 basis points to 22.75% from its previous rate of 18.75%. Governor Yemi Cardoso announced this decision following the first MPC meeting of the year held in Abuja on Tuesday.

Since the last MPC meeting in July 2023, the MPR had remained at 18.75%. However, with inflation currently standing at 29.90%, Governor Cardoso highlighted that the new MPR is a measure aimed at addressing the country’s persistent inflationary pressures.

Chairing the MPC session, Governor Cardoso also revealed that the Cash Reserve Ratio (CRR) has been elevated to 45%, while the liquidity ratio remains unchanged at 30%.

Moreover, Governor Cardoso disclosed concerning figures related to the crypto app Binance Nigeria. He stated, “In the case of Binance, in the last one year, 26 billion dollars has passed through Binance Nigeria from sources and users who we cannot adequately identify,” underscoring potential regulatory concerns.