The central bank says it has kept its benchmark interest rate at 11.5 percent and other key monetary policy measures unchanged.
Godwin Emefiele, governor of the Central Bank of Nigeria, made the announcement on Friday following the Monetary Policy Committee meeting, which began on Thursday.
The policy rate is the interest rate at which the central bank loans to banks, therefore determining the interest rate at which commercial banks lend to businesses and individuals.
It is used to manage the money supply in the economy, which has a direct impact on economic growth and price stability.
Mr Emefiele told media at the end of the two-day MPC meeting in Abuja that the committee opted to retain the policy rate at 11.5 percent, with an assymetric corridor of +100/-700 basis points around the MPR.
The committee also agreed to keep the Cash Reserve Ratio (CRR) at 27.5% and the Liquidity Ratio at 30%.
The committee cited Nigeria's impressive 5.01 percent GDP growth in the second quarter, as well as decelerating inflation, which fell for the fifth consecutive month in August, and argued that maintaining the parameters would strike a balance between boosting further growth and controlling inflation.
Mr Emefiele, on the other hand, highlighted that headline inflation remained over the CBN's target range of 6% to 9%.
It acknowledged the steady improvement in economic production growth and anticipated for greater growth in the second quarter.
The bank advised banks to lend to companies in order to spur development.
