The economic intelligence unit of Access bank Plc has in its preview of the CBN monetary policy meeting scheduled to hold next week, said that the committee is likely to retain the MPR at 27.50%.
The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) is scheduled to hold its third meeting of 2025 on July 21st and 22nd. The purpose of the meeting is to assess the results of previous policy decisions and to review recent domestic and global economic developments.
The Committee will evaluate prevailing economic conditions, including trends in the financial markets, with a particular focus on data that have emerged since its last session held on May 19 – 20, 2025.
Since the last Monetary Policy Committee meeting, the foreign exchange market has shown relative stability, with the naira appreciating to N1, 529.56/USD as of July 4, 2025, up from N1, 593.80/ USD on May 20, 2025.
Meanwhile, in its pre–MPC Report for July titled, “access bank monetary policy committee decision preview” Access Bank Eco nomic Intelligence unit said,” Although easing inflationary pressures may warrant consideration of further interest rate cuts, we anticipate that the Monetary Policy Committee (MPC) will hold the benchmark policy rate steady”
According to the report obtained by Westafrica BusinessNews, this decision to retain the MPR AT 27% will likely be influenced by several factors, including the need for further assessment of recent developments in the global market which are likely to have an indirect impact on the exchange rate market, the effectiveness of ongoing currency stabilization efforts and the anticipated impact of the GDP rebasing exercise.
It added that, given the complex dynamics at play, the MPC is expected to take a cautious approach, prioritizing a comprehensive evaluation of these factors before making any adjustments.
Other policy decisions expected by the MPC, as projected by the Access bank Economic intelligence unit, include, the retention of the Asymmetric Corridor of +500/-100 basis points around the MPR.
Retain the Cash Reserve Ratio of Deposit Money Banks at 50.0%., Retain the Cash Reserve Ratio of Merchant Banks at 16.0%, and also Retain the Liquidity Ratio at 30%.
It noted that since the last Monetary Policy Committee meeting, the foreign exchange market has shown relative stability, with the naira appreciating to N1,529.56/USD as of July 4, 2025, up from N1,593.80/ USD on May 20, 2025.
This improvement reflects the positive impact of ongoing CBN reforms and rising investor confidence, which have boosted foreign exchange liquidity in the market.
Credit to the private sector has remained broadly steady in 2025, reflecting sustained demand for financing despite tight monetary conditions. In May 2025, private sector credit recorded a marginal decline of 0.32% to N77.83 trillion from N78.08 trillion in April.
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