Nigerian central bank cuts interest rate to 11.5%

The Monetary Policy Committee of the Central Bank of Nigeria on Tuesday reduced the Monetary Policy Rate, also known as main interest rate, to 11.5 percent from 12.5 percent.

The CBN Governor, Mr Godwin Emefiele, disclosed this while announcing the decision of the MPC at the end of its two-day meeting.

The central bank had in May reduced the MPR for the first time in 14 months to 12.5 percent from 13.5 percent.

The MPR is used to determine bank lending rates and the cost of credit for borrowers.