Nigeria Holds Key Policy Rate at 27.5%

Nigeria's central bank kept its key interest rate unchanged at 27.5% on July 22, 2025, holding steady for a third consecutive meeting.

Nigeria’s annual inflation rate eased to 22.22% in June — the lowest reading since April 2023 and the third consecutive monthly decline.

However, core inflation inched higher to 22.76% in June from 22.28% in May, while month-on-month inflation rose slightly to 1.68%.

The central bank also highlighted risks stemming from global trade tensions and geopolitical volatility, notably the potential price impacts from US tariffs, which could fuel imported inflationary pressures.

Against this backdrop, the MPC underscored the importance of maintaining a steady monetary policy stance to ensure the full unwinding of inflationary shocks.