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CBN Cuts Interest Rate to 26.50% After MPC Meeting

Phinadon Mag

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Quick Summary:
Central Bank of Nigeria reduces interest rate by 50 basis points to 26.50%, retains key monetary parameters to support economic stability.

The Central Bank of Nigeria (CBN) has cut the Monetary Policy Rate (MPR) by 50 basis points, lowering it from 27.00% to 26.50%.

The announcement was made by CBN Governor, Olayemi Cardoso, during a press briefing following the 304th Monetary Policy Committee (MPC) meeting held on Tuesday in Abuja.

Cardoso said the decision was unanimously agreed upon by all members of the committee.

Key Monetary Parameters Retained

The CBN retained several other monetary policy instruments to maintain financial system stability:

  • Cash Reserve Ratio (CRR): 45% for commercial banks and 16% for merchant banks
  • CRR on non-TSA public sector deposits: 75%
  • Liquidity Ratio: 30%
  • Standing Facilities Corridor: Adjusted to +50/-450 basis points around the MPR

Cardoso explained that the decision reflects the MPC’s confidence in moderating inflation while supporting credit growth and economic recovery.

Background and Economic Context

The last time the CBN reduced the MPR was in September 2025, when it dropped the rate from 27.50% to 27.00%. In November 2025, the MPC opted to retain the rate amid inflationary pressures.

According to the National Bureau of Statistics (NBS), Nigeria’s inflation rate eased slightly to 15.10% in January 2026, down from 15.15% in December 2025, prompting analysts to anticipate a modest rate cut.

Implications for the Economy

The rate cut is expected to lower borrowing costs, stimulate private sector lending, and boost investment activity, though analysts caution that inflation management and exchange rate stability remain critical challenges.

The MPC’s decision signals a measured shift toward monetary easing, aimed at balancing growth objectives with price stability in the face of evolving global and domestic economic conditions.

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Police arrest Bauchi man accused of poisoning motorcyclist and stealing his bike.

Ikechukwu Emmanuel

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Operatives of the Bauchi State Police Command have arrested a 27-year-old man, Isiyaka Badamasi, for allegedly poisoning a commercial motorcyclist in an attempt to steal his motorcycle.

According to a statement issued on Thursday by the command’s spokesperson, SP Nafiu Habib, Badamasi and his alleged accomplice, Ma’aruf Sani, reportedly offered a 21-year-old motorcyclist a sweet containing a harmful substance. The victim, who resides in the Yelwa Tudun area of Bauchi, allegedly became intoxicated after consuming it.

The suspects were said to have attempted to dispossess him of his Bajaj Boxer motorcycle. However, the victim raised an alarm after sensing danger, attracting members of the public who apprehended Badamasi. Sani, both of whose residents are reportedly from Na’ibawa in Kano State, escaped and is currently the subject of a police manhunt.

The victim was taken to Gamuwa Primary Health Care Centre, where he remains on admission and is responding to treatment.

The Commissioner of Police, Sani-Omolori Aliyu, has ordered the transfer of the case to the State Criminal Investigation Department for further investigation. The command also urged residents to remain vigilant and reaffirmed its commitment to protecting lives and property across the state.

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Entertainment

Lojay: My uncle told me I would never succeed in music.

Ikechukwu Emmanuel

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Nigerian singer Lojay has revealed that he faced significant opposition when he decided to pursue a career in music, including doubts from members of his family.

Speaking during a recent livestream with content creator Gilmore, the “Monalisa” hitmaker recalled that one of his wealthy and influential uncles, who is now involved in politics, told him he would never succeed in the music industry.

“I have an uncle who is now in politics. I won’t mention his name, but he is very rich and popular. When I wanted to start music, he told me I would never blow,” Lojay said.

Despite the discouragement, the singer remained committed to his ambition and used the criticism as motivation. He expressed satisfaction that his perseverance had eventually produced positive results.

Lojay also encouraged his fans to remain confident in their dreams and avoid allowing negative opinions to define their ambitions.

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News

Benue Police Deny Withdrawal of Mobile Personnel from Ayilamo.

Ikechukwu Emmanuel

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The Nigeria Police Command in Benue State has dismissed reports alleging that Mobile Police personnel were withdrawn from Ayilamo community in Logo Local Government Area.

In a statement issued by the Command’s spokesperson, DSP Orchia Aondogwu, the report was described as unfounded and baseless. He stated that Mobile Police personnel remained deployed in Ayilamo alongside the Divisional Police team and other tactical units.

Aondogwu also said additional military personnel had been deployed to reinforce security in the area, urging the public to disregard the report.

However, the traditional ruler of Ayilamo, Mue Ter, Chief Torkoer Samuel, contradicted the police account. He claimed that the Mobile Police personnel left the community on Wednesday with their equipment and Armoured Personnel Carriers.

The conflicting accounts have raised questions about the current security situation in Ayilamo and the extent of military presence in the community.

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