The Central Bank of Nigeria has lowered its benchmark interest rate by 3.5 percentage points, bringing it down from 26.5 per cent to 23 per cent.
The decision was announced on Tuesday by CBN Governor, Olayemi Cardoso, after the Monetary Policy Committee concluded its 307th meeting in Abuja.
Cardoso said, “The Committee decided as follows: reset the monetary policy rate to 23 per cent.”
The latest adjustment marks a shift from the position taken at the committee’s last two meetings, when the rate was retained. It also comes months after the CBN approved a 50-basis-point reduction in February.
The move comes as Nigeria continues to record a gradual slowdown in inflation.
Data from the National Bureau of Statistics showed that headline inflation dropped slightly to 15.39 per cent in August 2026, compared with 15.43 per cent in July.
August’s figure represents the third straight monthly decline in the inflation rate following three consecutive months of increases.