Henceforth banks customers in the country would receive 1.25 percent as a minimum interest rate on their savings deposit
This was contained in a circular from the Central Bank of Nigeria, (CBN) directing deposit money banks operating in the country to pay 10 percent of its Monetary Policy Rate (MPR) as the minimum interest rate on savings deposit.
The MPR is the benchmark interest rate of the CBN and it presently stands at 12.5 percent. With this customers will now get 1.25 percent as a minimum interest rate on their savings deposit.
Commenting, CBN’s Director of Banking Supervision, Bello Hassan, said: “In line with recent market developments, the ‘Bank has reviewed the minimum interest payable on savings deposits as provided in its Guide to Charges by Banks’ consequently reviewing rates to 10% of Monetary Policy Rates.
“All deposit money banks are hereby informed that effective September 1, 2020, interest on local currency savings deposit shall be negotiated subject to a minimum of 10 percent of Monetary Policy Rate (MPR)”