For much of 2024 and into 2025, the global monetary story was one of restrictive policy rates battling stubborn inflation. Yet a small cohort of African economies has maintained benchmark rates well below 5%, offering a striking counterpoint to Nigeria, where the Central Bank held its Monetary Policy Rate at 27.5% through July 2025 before finally cutting to 27% in September—the first reduction since the pandemic.
Understanding why these outliers can afford cheap money matters profoundly. Lower policy rates reduce financing costs for business
For much of 2024 and into 2025, the global monetary story was one of restrictive policy rates battling stubborn inflation. Yet a small cohort of African economies has maintained benchmark rates well below 5%, offering a striking counterpoint to Nigeria, where the Central Bank held its Monetary Policy Rate at 27.5% through July 2025 before finally cutting to 27% in September—the first reduction since the pandemic.
Understanding why these outliers can afford cheap money matters profoundly. Lower policy rates reduce financing costs for business
