Members of the Central Bank of Nigeria (CBN) Monetary Policy Committee (MPC), on Tuesday rose from their meeting, voting to raise the benchmark Monetary Policy Rate (MPR) by 100 basis points to 14.0%.

This is the first time perhaps the CBN is raising rates at two successive meetings in response to the global challenges, particularly the ongoing war between Russia and Ukraine, and has continued to negatively impact the domestic economy, among others factors.

Recall that on Friday, the National Bureau of Statistics (NBS) released Nigeria’s Consumer Price Index for the month of June, showing that inflation jumped 89 basis points up to a five-year high at 18.60% year-on-year, from the 17.71% reported in May Nigeria’s Inflation Rate Hits 15-Month High At 18.6% In June.

Also at the meeting, the committee voted to retain the Cash Reserve Requirement (CRR) at 27.5%, liquidity ratio at 30.0% and asymmetric corridor around the MPR at +100bps/-700bps.

Details later…