Ifeanyi Onuba, AbujaThe Monetary Policy Committee of the Central Bank of Nigeria on Friday altered the Cash Reserves Ratio from 22.5 per cent to 27.5 per cent. The Cash Reserve Ratio is the share of a bank’s total deposit that is mandated by the CBN to be maintained with the latter in the form of liquid cash. The CRR is used by the CBN to ensure that a part of Deposit Money Bank's cash is with the Central Bank and is hence, secure. He said nine members of the committee voted to alter the CRR from 22.5 per cent to 27.5 per cent. The governor said apart from the CRR that was increased, the committee decided to retain the Monetary Policy Rate at 13.5 per cent.

Source: Punch January 24, 2020 14:56 UTC