Scroll down to enjoy our stories
Economy

CBN Governor Unveils Plan to Tame Inflation, Stabilise Economy

×

CBN Governor Unveils Plan to Tame Inflation, Stabilise Economy

Share this article

By Emmanuel Kwada

The Central Bank of Nigeria (CBN) is taking bold steps to curb inflation and stabilise the nation’s economy, according to Governor Olayemi Cardoso. Speaking at the Monetary Policy Forum 2025, Cardoso reiterated the CBN’s commitment to a disciplined approach to monetary policy, citing the need for robust policies and coordination between fiscal and monetary authorities to anchor expectations and maintain investor confidence.

The CBN has already made significant progress, with relative stability in the FX market, narrowing exchange rate disparities, and a rise in external reserves to over $40 billion as of December 2024.

Cardoso also highlighted the apex bank’s focus on strengthening the banking sector, introducing new minimum capital requirements for banks to ensure resilience and position Nigeria’s banking industry for a $1T economy. The CBN’s plan to transition to an inflation-targeting framework is also underway, with a target of reducing inflation to 21.4 percent.

The FX market, narrowing exchange rate disparities, and a rise in external reserves to over $40 billion as of December 2024

To achieve this, the CBN has significantly increased the monetary policy rate, setting it at an unprecedented 22.75%. The launch of the Nigeria Foreign Exchange Code is another decisive step forward, marking a commitment to integrity, fairness, transparency, and efficiency in the FX market.

With these measures in place, the CBN is poised to restore confidence, strengthen policy credibility, and stay focused on its core mandate of price stability.

Leave a Reply

Your email address will not be published. Required fields are marked *