The policy-setting committee of the Central Bank of Nigeria increased the monetary policy rate (MPR), a measure of interest rates, from 15.1% to 16.5%. (CBN). To combat rising inflation, this action was taken.
Nigeria's inflation rate just the week prior reached a five-year high of 21.09 percent as a result of the growing price of food.
The interest rate that forms the basis for all other interest rates used in an economy is the monetary policy rate, or MPR for short.