CBN cuts interest rate to 26.5%

The Central Bank of Nigeria (CBN) reduced its benchmark interest rate by 50 basis points to 26.5% at its February 24 MPC meeting. This marks the second rate cut since September 2025, following a 50bp reduction from 27.5% to 27%. The decision reflects sustained disinflation, exchange rate stability, and improved food supply conditions. CBN Governor Olayemi Cardoso stated the move is based on balanced risk evaluation, with inflation trending downward due to prior monetary tightening and stable foreign exchange rates. The MPC also adjusted facilities corridors to encourage lending and maintained liquidity ratios at 30%. This rate cut may lower borrowing costs for businesses and consumers, potentially stimulating economic activity.

SOURCE: https://www.premiumtimesng.com/business/business-news/859324-cbn-reduces-interest-rate-to-26-5.html