The Monetary Policy Committee (MPC) of the Central Bank of Nigeria reset the Monetary Policy Rate (MPR) to 23.00% in September 2026 from 26.5%, citing moderating inflation, resilient growth and the need to strengthen policy transmission, while stressing that the operational realignment did not change the monetary policy stance and would support the transition to an inflation-targeting framework. Over the past year, the MPC cut the MPR by 50 basis points to 27.0% in September 2025, held it in November, cut it by another 50 basis points to 26.5% in February 2026 and held it in May and July. The standing facilities corridor was recalibrated to +50/-300 basis points around the MPR, while cash reserve requirements were retained. Headline inflation eased for a third consecutive month to 15.39% in August, real GDP growth accelerated to 4.43% in the second quarter and the completed banking recapitalisation strengthened capital buffers. Gross external reserves reached USD 55.25 billion on September 18, providing about 11.3 months of import cover, while the current-account surplus increased in the second quarter. Globally, the Middle East conflict, trade uncertainty, supply-chain disruptions and elevated commodity prices weighed on growth and kept inflation risks tilted upward. The MPC expects inflation to moderate further and output to remain resilient through the rest of 2026, while prolonged geopolitical tensions and election-related spending pose upside risks to prices, and said fu

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