Economists Question CBN’s 45% CRR Despite 18-year High Foreign Reserves, Moderating Inflation

Economists have questioned the Central Bank of Nigeria's continued retention of a 45 per cent Cash Reserve Ratio, arguing that improved foreign exchange reserves, moderating inflation and stronger bank capitalisation provide room for gradual easing of the restrictive monetary policy. Nigeria's external reserves stood at $54.6 billion as of September 14, 2026, the highest in 18 years, while headline inflation moderated to 15.39 per cent in August 2026. The 45 per cent CRR for Deposit Money Banks is described as one of the highest in the world, second only to Venezuela's 73 per cent. Ayo Teriba, chief executive officer of Economic Associates, maintained that the prevailing macroeconomic conditions support a cut.

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