Core inflation slowed to 15.92 per cent from 16.82 per cent, supported by exchange rate stability.
The committee said maintaining the current policy stance would allow it to monitor incoming economic data and assess the inflation outlook before taking further action.
The MPC acknowledged improved coordination between fiscal and monetary authorities, saying closer policy alignment had helped to cushion the domestic economy from external shocks, including the impact of rising global oil prices triggered by the Middle East crisis.
It also commended the Federal Government’s efforts to increase crude oil production and urged relevant agencies to deepen reforms in the solid minerals sector to diversify government revenue.
On the banking sector, the committee welcomed the successful recapitalisation exercise, noting that it strengthened the resilience of Nigerian banks. However, it urged the CBN to maintain close supervision to preserve financial system stability.
It noted that Nigeria’s economy remained resilient despite external headwinds. Real gross domestic product (GDP) expanded by 3.89 per cent in the first quarter of 2026, driven mainly by the non-oil sector, while the Composite Purchasing Managers’ Index (PMI) returned to expansion territory, rising to 50.1 points in June from 49.6 points in May.
External reserves also improved to $52.52 billion as of July 17, 2026, sufficient to cover about 11 months of imports, up from $50.47 billion at the end of May.
Nigeria’s external reserves have increased by over $26 billion since their 2016 low, reaching $52.52 billion, the highest level in about 17 years.
On the assumption that the naira is undervalued at about N1,385 to the dollar, Cardoso, who wittingly dismissed the claim, maintained that the apex bank would continue to maintain a transparent, liquid and market-driven foreign exchange market, insisting that the exchange rate would continue to be determined by market fundamentals.
