CBN Retains Interest Rate At 27% - Business

CBN Retains Interest Rate At 27% - Business - Nairaland

Nairaland Forum › Nairaland General › Business › CBN Retains Interest Rate At 27% (3776 Views)

CBN Retains Interest Rate At 27% by DrMB(op): 5:33pm On Nov 25, 2025

The monetary policy committee (MPC) of the Central Bank of Nigeria (CBN) has retained the country’s monetary policy rate (MPR) at 27 percent.

Olayemi Cardoso, CBN’s governor, announced at a news conference on Tuesday during the committee’s 303rd meeting in Abuja.

The MPR serves as the baseline interest rate in an economy; other interest rates used within the economy are built on it.

The decision represents the fourth time the MPC would retain the MPR, following similar calls in February, May, and July.

#TheCableIndex

https://www.thecable.ng/breaking-cbn-retains-interest-rate-at-27/

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Re: CBN Retains Interest Rate At 27% by Profgordons(m): 7:06pm On Nov 25, 2025

DrMB:
https://www.thecable.ng/breaking-cbn-retains-interest-rate-at-27/

While holding might be good for stability we need a reduced interest rate to stimulate the real economy. I do not know how Ghana have been able to achieve this within a short time but it is something to consider. The real economy is depressed, the average joe is unable to borrow to do business.

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Re: CBN Retains Interest Rate At 27% by DealFinder(m): 7:17pm On Nov 25, 2025

Na WA ooo, 27% and the loan apps will allegedly charge customers interest of up to 25% for a month

3 Likes

Re: CBN Retains Interest Rate At 27% by anonimi: 7:19pm On Nov 25, 2025*

DrMB:
https://www.thecable.ng/breaking-cbn-retains-interest-rate-at-27/

What was the same interest rate in 2015, before we listened to Tinubu and APC fake promises to package their expired soldier as change messiah huh

This will help us know how much progress or failure we have experienced since APC replaced 16 years of PDP prosperity and productivity with high employment.

thisweekng:
The Minister of Finance and Coordinating Minister of the Economy Chief Olawale Edun has said the last time Nigeria’s economy looked stable was about a decade ago.

He made this statement during his maiden press conference as Minister of Finance where he outlined President Bola Tinubu’s vision, agenda and strategy for the economy.

He said, “I think as we all know, we are not where we should be. The economy is barely growing above the rate of population growth.

“But it was not always so, and I think in trying to look at the way forward, if we now have a situation of slow growth, double-digit inflation, weak/depreciating exchange rate, as well as security concerns that are resulting in an economy that is not growing and not taking Nigerians out of poverty.

“If we think back to the last time when the economy was stable- when it was growing, when inflation was low, and the interest rate was affordable, that period was about a decade ago. Growth was about 6% in 2013 and 2014.”
Private sector to drive the economy

https://nairametrics.com/2023/09/01/the-last-time-nigerias-economy-was-stable-was-about-a-decade-ago-wale-edun/

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Re: CBN Retains Interest Rate At 27% by grandstar(m): 8:14pm On Nov 25, 2025

Profgordons:
While holding might be good for stability we need a reduced interest rate to stimulate the real economy. I do not know how Ghana have been able to achieve this within a short time but it is something to consider. The real economy is depressed, the average joe is unable to borrow to do business.

The problem isn't the interest rate. The problem is inflation.

Reduce the interest rates and inflation would increase.

The best thing would be to increase interest rates to the point it brings inflation below 10% or basically subdues it.

The problem is that the economy would suffer a downturn or an outright recession to achieve such an inflation target. I prefer this. Once inflation is subdued, interest rates can then be cut, even below 20%

Tinubu has never been fond of using interest rates to subdue inflation. He sees it as counterproductive.

However, low inflation would be a massive vote winner for the president in the coming 2027 elections. The present high cost of living is down to the hawkish stance regarding inflation the central bank has taken.

You can have your cake and eat it too.

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Re: CBN Retains Interest Rate At 27% by EDGEof2MORO: 8:21pm On Nov 25, 2025

And you people expect Nigeria economy to grow. You can not run a functional regime with that kind of interest rate

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Re: CBN Retains Interest Rate At 27% by nedekid: 8:35pm On Nov 25, 2025

DealFinder:
Na WA ooo, 27% and the loan apps will allegedly charge customers interest of up to 25% for a month

Yeah they do, but guess what, it is not mandatory you take the money.
Today I took 90k or there about from opay only because they offered 70% off interest, ie interest of 9k on 99k for 2 months ie discount of 21k. It made sense so I took it just for taking sake. But I will not take such money if it is the full 30k interest in 90k on 2 months even if I can afford it cos e no make sense to me personally.

Re: CBN Retains Interest Rate At 27% by tragergeorge(m): 8:40pm On Nov 25, 2025

2010 lending interest rate was 17@%
as at 2014 was 21%
now 27%
for clarity

if Na to borrow the interest has always been high

Re: CBN Retains Interest Rate At 27% by DelilahMakinde(f): 8:46pm On Nov 25, 2025

And Treasury bills? How much

3 Likes

Re: CBN Retains Interest Rate At 27% by DMerciful(m): 9:11pm On Nov 25, 2025

Holding the interest rate constant despite fall in inflation over 4 months cycle shows the CBN does not trust the inflation data

Re: CBN Retains Interest Rate At 27% by KaptainAfrika: 9:14pm On Nov 25, 2025

Yet they say inflation has reduced, but the interest rate remains at 27% grin

Re: CBN Retains Interest Rate At 27% by thatigboman: 9:15pm On Nov 25, 2025

DrMB:
https://www.thecable.ng/breaking-cbn-retains-interest-rate-at-27/

Nigeria newspapers and lies.
MPR was 27.5% since February, only reduced to 27% in September and then retained in November. How is that 4 times?
It's all there in CBN website.
Oh they factually correct. The MPR has been 4 times this year but the rates have fluctuated between 27.5 and 27%

Re: CBN Retains Interest Rate At 27% by Konquest: 9:31pm On Nov 25, 2025

DrMB:
https://www.thecable.ng/breaking-cbn-retains-interest-rate-at-27/

That's still too high for real sector investments and economic growth.

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Re: CBN Retains Interest Rate At 27% by wirinet(m): 9:49pm On Nov 25, 2025

Konquest:
That's still too high for real sector investments and economic growth.

Celebrating an interest rate of 27% is unrealistic. At that level, only trading, importation, and some service-based businesses can survive. For the real sector — manufacturing, agriculture, and construction — it’s a direct hit.

These industries need time. From taking a loan to producing, and eventually selling to recover investment, the cycle can span 1 to 5 years before a single naira returns. On top of that, their operating costs are high, and their profit margins are usually below 30%. With numbers like these, a 27% interest rate is simply incompatible with growth.

No country with serious development ambitions sets rates that high. Especially when competing globally — for example, with China, where interest rates are below 5% and operational costs are far lower. High lending rates don’t just slow the real sector; they wipe it out.

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Re: CBN Retains Interest Rate At 27% by abbey621(m): 9:52pm On Nov 25, 2025

Failed nation, interest rate at almost 30% yet una wan compete with countries where a 5% interest rate is considered an abomination, WE AIN'T READY grin

1 Like

Re: CBN Retains Interest Rate At 27% by Konquest: 10:02pm On Nov 25, 2025

wirinet:
I

Celebrating an interest rate of 27% is unrealistic. At that level, only trading, importation, and some service-based businesses can survive. For the real sector — manufacturing, agriculture, and construction — it’s a direct hit.

These industries need time. From taking a loan to producing, and eventually selling to recover investment, the cycle can span 1 to 5 years before a single naira returns. On top of that, their operating costs are high, and their profit margins are usually below 30%. With numbers like these, a 27% interest rate is simply incompatible with growth.

No country with serious development ambitions sets rates that high. Especially when competing globally — for example, with China, where interest rates are below 5% and operational costs are far lower. High lending rates don’t just slow the real sector; they wipe it out.

Indeed, you succinctly stated the real world situation (with economic variables and solutions). The single-digit interest rates should be the focus for any country hoping to be classified as a true member of the global emerging markets.

2 Likes 1 Share

Re: CBN Retains Interest Rate At 27% by Prophit: 8:54am On Nov 26, 2025

20 more more characters to tell someone that we need a site that rivals this particular one

Re: CBN Retains Interest Rate At 27% by gloryman91(m): 10:02am On Nov 26, 2025

Haram is Haram even if it's a kobo.

1 Reply

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