In a major boost for Nigeria's struggling borrowers, businesses, and government finances, Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has revealed that the Federal Government is open to pushing for an interest rate cut but only if the current downward trend in inflation holds steady.Speaking on the latest economic developments, the Finance Minister commended the Central Bank of Nigeria (CBN) for what he described as “excellent” progress in bringing down runaway prices. He highlighted that headline inflation fell to 14.45% in November 2025 the lowest level in years and a dramatic improvement from the highs of over 30% seen earlier.Here are striking official portraits of Finance Minister Wale Edun, the key voice behind this optimistic policy signal.
Edun credited the aggressive monetary tightening policies implemented over the past two years for the positive shift, noting that continued moderation in inflation could open the door to easing the current high benchmark rate which stands at 27% following a small 50 basis point reduction in September 2025.The potential rate cut, he explained, would be a game-changer: it could significantly lower the government's massive debt-servicing costs, ease pressure on the federal budget, and provide breathing room amid unstable oil revenues and a widening fiscal deficit.This comes as Nigeria enters what Edun calls a “phase of economic consolidation”, with growth averaging 3.78% in the first nine months of 2025, external reserves climbing to $45.5 billion, and the naira stabilizing below 1,500 to the dollar in recent months.Here is the iconic Central Bank of Nigeria (CBN) headquarters in Abuja, the institution responsible for setting the Monetary Policy Rate and steering the fight against inflation:
While analysts forecast inflation averaging around 16.5% in 2026 (with some optimistic projections even lower), the Finance Minister's comments mark the clearest official hint yet that the era of ultra-high interest rates may be nearing an end provided price stability is maintained.The big question now gripping markets, businesses, and households: How soon could borrowing costs start to fall, and will it come fast enough to spur real economic recovery?With the next Monetary Policy Committee meeting on the horizon, all eyes are on the CBN and on whether the disinflation momentum will unlock the long-awaited relief Nigerians have been waiting for. The tide may finally be turning.