By Babajide Komolafe Economy Editor

The Central Bank of Nigeria, CBN has raised it’s Monetary Policy Rate, MPR, by 100 basis points to 16.5% from 15.5%.

The MPR, the third since May, follows continued rise in inflation rate which hit 21.09% in October.

Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele made this known at the end of the Monetary Policy Committee meeting in Abuja.

The CBN said previous increases were beginning to yield results and there was need to keep tightening. It tightened by 100 basis points.

Emefiele announced that the committee also retained the Cash Reserve Ratio (CRR) at 32.5 percent, and voted to retain the asymmetric corridor at +100 and -700 basis points around the MPR. The liquidity ratio was retained at 30 per cent.