Tag: Central Bank of Nigeria

Ahead of the Central Bank of Nigeria’s (CBN) updated recapitalisation deadline of 31 March 2026, Summit Bank has confirmed that it has fully met its capital requirement, positioning the bank in strong compliance with the CBN’s objective of strengthening financial stability within the Nigerian banking sector, The Nation has learnt.

Checks by our correspondent revealed that as one of Nigeria’s newest entrants into the non-interest banking space, Summit Bank recorded a regulatory capital base of ₦15.3 billion as at 21 May 2025, a position previously confirmed by the CBN.

This position places Summit Bank well above the required threshold of N10b for regional non-interest banks.

“This milestone has been made possible by the unflinching confidence of our shareholders, the effective leadership of the board and management team, as well as the dedication of the bank staff,” Dr Sirajo Salisu, Summit Bank MD/CEO, said in an interview.

In line with its strong vision of operational excellence and value creation, and having achieved full capital compliance ahead of schedule, the bank is set to further reinforce its long-term commitment to leading the ethical banking space, while supporting its stakeholders for common growth and prosperity.

Dr Mukhtar Adam, Summit Bank ED/COO, said Summit Bank will continue to combine operational excellence with value-based banking to create win-win situations for customers and shareholders.

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“With our strengthened capital base, we will continue to drive ethical and inclusive value-based banking through digital platforms, customer experience, and targeted lending that supports SMEs and the underserved,” he said, adding that meeting the regulatory threshold is not an end in itself but a solid foundation for the bank’s forward-looking agenda of scaling responsibly, innovating within non-interest principles, and deepening partnerships that create shared economic value.

The current CBN’s recapitalisation exercise requires an updated capital threshold of N500b for international banks, N200b for national commercial banks, N50b for regional commercial banks, N20b for national non-interest banks, and N10b for regional non-interest banks, with a deadline of 31 March for full compliance.

Summit Bank, established as a purpose-driven non-interest bank, was incorporated in July 2024 and licensed by the CBN in February 2025. Positioned to provide ethical banking services to the public, the bank aims to redefine ethical and inclusive finance through transparent products, digital accessibility, and a strong commitment to financial inclusion.

The Central Bank of Nigeria (CBN) reaffirms its commitment to educating consumers on key issues around financial services offerings and complaints resolutions. Issues around financial literacy, complaints resolutions, entrenching the right to privacy and confidentiality are receiving regulatory support. Already, the Customers Bill of Rights approved by the CBN highlights the central role of customers in business success, and role of banks in ensuring a safe and secured banking system, reports Ibrahim Apekhade Yusuf

As a financial sector regulator, the Central Bank of Nigeria (CBN) has a duty of care, ensuring that it provides excellent guidance that ensures that bank customers get the best services for their patronage.

Central to achieving this goal is the need to provide financial literacy, complaints resolution mechanisms, protecting customers’ right to privacy and confidentiality.

The regulator has also gone a step further by providing guidance to bank customers on what their obligations to the lender are.

According to CBN Governor, Olayemi Cardoso, while the apex bank continues to lay the foundation for price stability and foster a conducive policy environment, the role of banks in this journey remains crucial.

“At the Central Bank, we have intensified surveillance of market activities to ensure compliance. Together, we must build a market based on strong governance and transparency. As regulators, we will maintain a zero-tolerance approach to compliance violations,” he said.

On its Consumer Education Series shared across social media platforms, the CBN educated bank customers on what they need to know about Bank Verification Number (BVN) Watchlist.

It said: “Do You Know that your Bank Verification Number is more than just numbers, it is your financial identity in the Nigerian banking system. BVN Watchlist contains the records of individuals or institutions who have been confirmed to engage in fraud, financial misconduct or serious violations of banking rules.

Continuing, it said: “If your BVN is listed: Go to your bank, find out what exactly the problem is and work to settle it; Do not forget to use your BVN and your account responsibly, honor your financial obligations and never participate in, support or benefit from fraud.”

The CBN also highlighted issues around understanding the difference between needs and wants as it provides financial literacy lessons to the public.

It asked: “Did you know that financial literacy helps you distinguish between your needs and your wants? Smart money management starts with knowing the difference. When you understand this, you are better equipped to make informed decisions about how to spend, save, and budget your money”.

It explained further: “Needs are essential things you must have to live and function. These include food and water, basic healthcare, shelter or rent, school fees, and other necessities. Wants are things that are nice to have but not essential for survival. They add comfort, style, or enjoyment, such as eating out frequently or buying luxury items. Before you spend, pause and ask yourself: Do I need this, or do I just want it?”

Earlier, the apex bank unveiled the Bank Customers’ Bill of Rights during “CBN Fair” held in Lagos, with the theme: “Driving Alternative Payment Channels as Tools for Financial Inclusion, Growth and Accelerated Economic Development” highlights the rights of customers and their obligations to the banks.

The Bill of Rights, insisted that a bank customer has a right to be informed, right to choose, right to safety, right to privacy and confidentiality, and the right to redress. Others include right to good service, right to equality and right to free monthly statement of account.

On the other hand, the report listed certain obligations that a customer owes to his or her bank. They include duty to financial obligations, duty to protect instruments and information, duty to provide factual information and not to mislead the bank, duty to report suspected fraud or error and duty of personal safety and safety of assets.

Speaking during the event, the CBN Acting Director, Corporate Communications Department, Mrs. Hakama Sidi Ali, said the Management of the CBN, under the leadership of Cardoso, is committed to protecting the rights of bank customers and promoting quality services.

Ali said the core objective of this engagement, therefore, is to sensitize members of the public on how the bank’s policies and innovations can enhance their lives and livelihood and contribute to the growth and development of the Nigerian economy.

She explained that as a means of protecting banks’ customers and ensuring that they are not short-changed, the CBN launched the Unified Complaints Tracking System (UCTS), aimed at streamlining and improving the management of consumer complaints against financial institutions. The system, alongside a USSD code (*959#) for verifying licensed institutions, enhances transparency and consumer protection in the Nigerian financial sector.

“The core objective of this engagement, therefore, is to sensitize members of the public on how the Bank’s policies and innovations can enhance their lives and livelihood and contribute to the growth and development of the Nigerian economy,” she said.

Other stakeholders insisted that at the heart of the CBN strategy is its commitment to maintaining economic stability.

“Administration prioritized an inflation targeting framework, which has been pivotal in controlling inflation and stabilizing the naira through careful adjustments in the monetary policy, rate and other instruments. The CBN has kept the economy on a steady course despite global economic headwinds,” they said.

“This year has been marked by innovative reforms and realignments, significant upgrades were made to digital platforms, automating financial processes and implementing stringent cyber security measures to protect assets and data,” they said.

The participants’ concerns around banking system stability, customer services and complaints were addressed by CBN team from the Other Financial Institutions Department, Payments System Policy Department, Consumer Protection and Financial Inclusion Department, Currency Operations and Branch Management Department, and Financial Markets Department.

Understanding the Bill of Rights

The bill of rights described the customer as the most important person in the economy and every business succeeds only when the customer is happy.

Describing the customer as a king, it said: “As a king, the customer has many rights. But a king also has duties which he owes himself and the society. In Nigeria, customers of banks have certain rights and duties guaranteed by law, regulation and conventions.”

The report disclosed that a bank customer has a right to disclosure of information from his/her bank on products and services the bank offers.

“The information provided must be complete, relevant and truthful. Your bank must explain to you understanding all contractual terms and charges prior to the consummation of any agreement or contract. This right enables you to have relevant information in order to make rational choices. It amounts to a breach of right if your bank fails to provide this information or deliberately misleads you in any way,” it said.

According to the apex bank, bank customers also have a right to select from the range of products and services made available by your bank at competitive prices.

“This means that as a customer, you can, at all times, decide on the product or service to accept/purchase and the ones to decline. It is wrong for a bank to restrict your choices or compel you to accept/purchase products or services that are ill-suited for your needs. Where you are not satisfied with your bank’s service delivery on any product or service, you have the right to end the contract or even the banking relationship provided you settle all outstanding commitments,” it said.

The CBN explained that the right to safety requires a bank to guarantee all its customers a secure and conducive banking environment devoid of threats to their safety and health.

“You have the right to be reasonably protected from accidents while on the premises of your bank. You also have the right to be protected from negative effects of pollution of any kind whether arising from your bank’s operations or from other sources. It is necessary to stress that your bank is obligated to adhere strictly to applicable safety and directives to ensure that your safety and well-being are adequately guaranteed while you are on the premises of your bank,” it said.

The bill of rights, described the customer as the most important person in the economy and every business succeeds only when the customer is happy

Continuing, the apex bank also highlighted the customers right to privacy and confidentiality.

It explained that as a bank customer, one has the right to freedom from disclosure of your account details by your bank as intrusion into your account by a third party.

In other words, a bank is not to divulge your account information to a third party; a bank must also protect customers’ information from unauthorised access by a third party.

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It however, stated that there are expectations to this right where a bank is required by law to make disclosure; and where a customer consents to the disclosure.

“A bank must provide its customers a redress mechanism to express their displeasure or grievance. The mechanism must be free, accessible, transparent, timely and convenient. You have a right to an efficient complaints management system through which you can lodge complaints against your bank. You also have the right to be kept abreast of the resolution process (acknowledgment, feedback, updates, and explanation) and ultimately, basis of decision. Where you are not satisfied with the decision of your bank, you have the right of review either by your bank, the Central Bank of Nigeria (CBN) or the court,” it stated.

The CBN however, stated that all customers have a right to value for their money which involves the right to be treated with respect and dignity by banks and their representatives.

“The hallmark of banking is customer satisfaction and as such your bank would have failed if it was unable to offer quality and value-adding banking services to you as a customer. Part of this right is that your bank must provide appropriate response to your needs and complaints,” it said.

Bank customers also have the right to equality. Here, the  right requires that a customer is treated equally as other customers regardless of differences in financial standing/deposit balance, physical ability, age, gender , ethnicity, or creed. It is wrong for a bank to offer preferential treatment to some customers at the expense of other similar kinds of customers. However, banks may decide to differentiate customers on account of the nature of products customers purchase or subscribe to.

The report also highlighted customers’ obligations to their banks.

“This represents the cornerstone of your duties as a bank customer and involves the search for relevant knowledge that should lead you to make informed decisions and enhance your benefits. Without adequate knowledge, customers are bound to make ill-informed decisions which may precipitate an avalanche of complaints from customers against their banks. It is generally agreed that sophistication in the banking industry has tasked the understanding of even people that are financially literate; it is, therefore, your responsibility to “shine your eyes” when dealing with your bank,” it said.

Branch Controller, Central Bank of Nigeria, Lagos, Sunday Daibo, said the apex bank is taking steps to ensure more people are brought into the digital payment network.

He said: “In a world where technology is reshaping economies and redefining how people interact with financial services, alternate financial services have emerged not as an option, but as a necessity.  They are the bridges connecting the underserved populations to the formal financial system,” he said.

“Today’s gathering brings together policy makers, financial institutions, FinTech innovators, merchants and the public, all stakeholders in a single mission to make financial access to the person and to ensure that every Nigerian, regardless of location or status, can participate in and benefit from our nation’s economic project progress.”

The Central Bank of Nigeria (CBN), has projected an impressive growth outlook for the economy in the new year on the back of the reforms being implemented across the board, reports Ibrahim Apekhade Yusuf

The Central Bank of Nigeria (CBN) has projected a 4.49 per cent economic growth and inflation easing to an average 12.94 per cent in 2026. In its economic outlook for 2026, the apex bank said the growth and inflation easing will be driven by stable forex markets and rising oil output following critical reforms.

The apex bank also tipped foreign reserves to hit $51.04 billion even as cost of lending is projected to decline. These projections will support the apex bank’s broader reforms to enthrone a stronger and viable domestic economy.

The past year was remarkable in many aspects. It was marked by global uncertainty, domestic recalibration, and deep institutional rebuilding.

Yet amid these challenges lies a moment of renewed clarity. Over the past year, the CBN under the leadership of Olayemi Cardoso, took strategic steps to restore macroeconomic stability, rebuilding trust, and strengthening the credibility in the financial services sector.

For many analysts, the progress of the past year will be surpassed in 2026.

In the past year, Cardoso said: “I am pleased to report meaningful progress on all three fronts, even as we remain fully aware of the work ahead. Our actions continue to reflect the policy direction we articulated from the outset, in other words, we said what we would do, and we have done it, transparently and consistently.”

Key targets for this year are set on issues around inflation, growth, foreign reserves and non-oil export earnings.

In its economic outlook for this year, the CBN projected that the country’s external reserves will rise to $51.04 billion in 2026.

The forecast signals optimism after two years of sweeping reforms by President Bola Tinubu’s government, with the bank betting on structural changes in oil, tax and foreign exchange markets to sustain growth and disinflation.

In its 2026 outlook, the apex bank projects stronger non-oil growth and sturdier external. “The growth prospect in 2026 is positive on account of continued gains from broad-based structural reforms… and improved stability in the exchange rate,” the central bank report said. Easing monetary policy would “add impetus to growth following the anticipated reduction in the cost of lending”, it added.

Nigeria’s central bank kept its key rate at 27 per cent in November’s year-ending meeting, opting to let inflation cool further, but trimmed the deposit rate – a vote of confidence in the economy.

The move surprised economists, who had forecast a 100 basis-point cut after September’s first rate reduction since 2020.

According to CBN Governor, Olayemi Cardoso, over the past 12 months, Nigeria’s economy has transitioned from crisis management to laying the groundwork for a sustainable recovery.

“After nearly a decade in which real GDP growth averaged about 2%, reforms have restored momentum and confidence in our broad macroeconomic environment. Our economy grew by 4.23% in the second quarter of 2025, the strongest pace in four years, driven by improvements in telecommunications, financial services, and oil production,” he said.

“More importantly in terms of long-term stability, inflation, while still high, has moderated consistently. From a peak of 34.6 per cent in November 2024, it has more than halved to 14.50 in November 2025. This marks eight consecutive months of disinflation,” he said.

This significant, steady decline in inflation is restoring real purchasing power for households and businesses. It also demonstrates disciplined execution and Nigeria’s return to orthodox monetary policy.

“We continue with determination to bring inflation down further. The current double-digit rate cannot be acceptable. Price stability is the foundation of sustainable growth. Our transition to an inflation‑targeting framework is gaining traction. We have improved data analytics, strengthened communication, and ended monetary financing of fiscal deficits. These actions have strengthened monetary policy transmission and anchored expectations.

“Our models project continued disinflation in 2026, helped by stronger domestic production, improved FX liquidity, and more disciplined liquidity management. As inflation moderates and becomes firmly anchored, we will calibrate the policy rate in line with evolving data.

“Domestic and international observers alike have noted Nigeria’s “huge turnaround” in macroeconomic management. Our commitment remains clear: monetary policy will stay evidence-based, data-driven, and unwavering in its pursuit of price stability.”

According to the apex bank, the expected increase in reserves builds on the positive external sector performance recorded in 2025, when the balance of payments posted an estimated surplus of $5.80 billion, while external reserves rose to $45.01 billion, compared with $40.19 billion in 2024.

The Bank noted that relative stability in the foreign exchange market during 2025 was driven by domestic economic reforms, higher capital inflows, increased export receipts and expanding local refining capacity. These factors, it said, are expected to strengthen further in 2026 and support reserve accumulation.

Looking ahead, the CBN projected that the current account surplus will rise sharply to $18.81 billion in 2026, underpinned by strong exports, steady diaspora remittances, increased oil and gas output, improved domestic refining capacity and rising global demand from key trading partners.

The outlook also showed that portfolio investment inflows and external borrowings are expected to keep the financial account in a net borrowing position of $10.15 billion, while the International Investment Position (IIP) is projected to record a net borrowing position of $69.58 billion in 2026, as attractive yields are anticipated to boost capital inflows.

The Director-General, the West African Institute for Financial and Economic Management (WAIFEM) Dr. Baba Musa, said gains in growth, inflation moderation, and investment confidence mark important progress, but the work is far from complete.

In his report, titled: “Nigeria’s Economic Outlook at a Turning Point”, he said Nigeria’s economic story is one of resilience, renewal, and strategic recalibration.

“To sustain the recovery, Nigeria must maintain macroeconomic stability, deepen structural reforms, and ensure that growth translates into tangible improvements for citizens. Achieving this requires collaboration among government, private sector, civil society, and development partners,” he said.

According to him, by committing to policy consistency, human capital investment, and inclusive growth, Nigeria can consolidate its recovery and emerge as a more competitive, resilient, and equitable economy in the years ahead.

“Globally, economies are grappling with slowing growth, projected at 2.7% in 2025 by the IMF for advanced economies, and heightened geopolitical risks that affect trade and investment. Against this backdrop, Nigeria has demonstrated remarkable determination. Domestically, inflationary pressures, infrastructure deficits, and unemployment persist, yet they now represent policy frontiers rather than defining constraints,” he said.

Musa said recent policy measures, ranging from fiscal consolidation to targeted monetary adjustments, have laid the groundwork for a sustainable growth trajectory.

“The real test, however, lies not only in achieving stability but in ensuring that it translates into tangible socio-economic outcomes: decent jobs, rising incomes, improved productivity, and broader social welfare. If Nigeria deepens reforms, invests strategically in human capital, and leverages its structural advantages, the country can achieve not only recovery but inclusive and durable economic transformation,” he said.

He said the growth for Nigeria is underpinned by stronger oil production following operational improvements and policy reforms in the petroleum sector.

“Recovery in services, particularly telecommunications, financial services, and transport, reflecting resilient domestic demand. Improved agricultural output, thanks to favorable weather patterns and government support for mechanisation and inputs,” he said.

He said the recent GDP rebasing has also given a more accurate reflection of the economy, capturing growth in high-potential sectors such as digital services, modular refining, and the creative industries. This expanded view highlights opportunities for job creation, innovation, and revenue generation that were previously underappreciated.

World Bank’s positive verdict on economy

The World Bank also recently gave a positive verdict on Nigeria’s economic growth trajectory, highlighting three-year unbroken growth for the country.

In the its Global Economic Prospects, the bank posited that Nigeria will have three-year unbroken growth records- growing at 3.6 per cent in 2025, 3.7 per cent in 2026 and 3.8 per cent in 2027.

The World Bank however, slashed its global growth forecast for 2025 by 0.4 percentage point to 2.3 per cent, saying that higher tariffs and heightened uncertainty posed a “significant headwind” for nearly all economies.

In its twice-yearly Global Economic Prospects report, the bank lowered its forecasts for nearly 70 per cent of all economies – including the United States, China and Europe, as well as six emerging market regions – from the levels it projected just six months ago before U.S. President Donald Trump took office.

The bank stopped short of forecasting a recession, but said global economic growth this year would be its weakest outside of a recession since 2008. By 2027, global gross domestic product growth was expected to average just 2.5 per cent, the slowest pace of any decade since the 1960s.

The report forecast that global trade would grow by 1.8 per cent in 2025, down from 3.4 per cent in 2024 and roughly a third of its 5.9 per cent level in the 2000s. The forecast is based on tariffs in effect as of late May, including a 10 per cent U.S. tariff on imports from most countries. It excludes increases announced by Trump in April and then postponed until July 9 to allow for negotiations.

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The bank said global inflation was expected to reach 2.9 per cent in 2025, remaining above pre-COVID levels, given tariff increases and tight labour markets.

“Risks to the global outlook remain tilted decidedly to the downside,” the bank wrote. It said its models showed that a further 10-percentage point increase in average U.S. tariffs, on top of the 10 per cent rate already implemented, and proportional retaliation by other countries, could shave another 0.5 percentage point off the outlook for 2025.

According to the World Bank, growth in Sub Saharan Africa is projected to strengthen to 3.7 per cent in 2025 and average 4.2 percent in 2026- 27, assuming the external environment does not deteriorate further, inflation declines as expected, and regional conflicts subside.

It said that despite weakening growth among emerging markets and developing economies (EMDEs) globally, SSA is one of two regions expected to see growth acceleration in the forecast period.

The World Bank Group’s Chief Economist and Senior Vice President for Development Economics, Indermit Gill, said that outside of Asia, the developing world is becoming a development-free zone.

“It has been advertising itself for more than a decade. Growth in developing economies has ratcheted down for three decades—from 6 percent annually in the 2000s to 5 percent in the 2010s—to less than 4 percent in the 2020s. That tracks the trajectory of growth in global trade, which has fallen from an average of 5 percent in the 2000s to about 4.5 percent in the 2010s—to less than three per cent in the 2020s. Investment growth has also slowed, but debt has climbed to record levels.”

The World Bank’s Deputy Chief Economist and Director of the Prospects Group, Ayhan Kose, said emerging-market and developing economies reaped the rewards of trade integration but now find themselves on the frontlines of a global trade conflict.

“The smartest way to respond is to redouble efforts on integration with new partners, advance pro-growth reforms, and shore up fiscal resilience to weather the storm. With trade barriers rising and uncertainty mounting, renewed global dialogue and cooperation can chart a more stable and prosperous path forward,” he said.

Nigeria recorded a strong external sector rebound in the third quarter (Q3) of 2025, posting an overall balance of payments surplus of $4.60 billion.

This is a sharp shift from the deficit position in the preceding quarter according to data released by the Central Bank of Nigeria (CBN).

Acting Director of Corporate Communications at the CBN, Hakama Sidi Ali (Mrs.), also announced that domestic economic activity strengthened further in December 2025, as the Composite Purchasing Managers’ Index (PMI) climbed to 57.6 index points.

In a statement issued on Tuesday, the apex bank said “the improvement was supported by a sustained current account surplus of $3.42 billion, supported by stronger trade performance, resilient remittance inflows, increased financial flows, and continued accretion to external reserves.”

According to the report, the goods account recorded a surplus of $4.94 billion during the period, reflecting higher export earnings. Crude oil exports rose to $8.45 billion, while exports of refined petroleum products increased by 44 per cent to $2.29 billion.

The Bank noted that this trend points to “further progress in domestic refining capacity and Nigeria’s gradual transition from a net importer to a net exporter of refined petroleum products.”

Total goods exports were recorded at $15.24 billion, while imports of refined petroleum products declined by 12.7 per cent, resulting in a stronger trade balance.

Workers’ remittances also remained firm, with the secondary income account registering a surplus of $5.50 billion, out of which $5.24 billion came from inflows sent home by Nigerians in the diaspora.

Developments in the financial account contributed to the positive BOP outcome, as Nigeria posted a net lending position of $0.32 billion. Foreign direct investment inflows rose to $0.72 billion, while portfolio investment inflows were put at $2.51 billion.

The CBN noted that these figures “reflect improved investor sentiment and continued non-resident participation in domestic financial instruments.”

Nigeria’s external reserves also recorded a notable increase, rising to $42.77 billion as at end-September 2025, compared with $37.81 billion at end-June. The Bank stated that this development strengthened the country’s external buffers during the period under review.

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According to the CBN, the Q3 2025 Balance of Payments performance points to firmer external sector conditions, rising investor confidence, and the continuing effects of policy reforms in the foreign exchange market, monetary policy operations, and the domestic energy sector.

In a separate update, the CBN announced that economic activity gained more traction in December 2025, as the Composite PMI remained above the 50-point expansion threshold.

The December 2025 PMI Survey put the Composite Index at 57.6 index points, which the Bank described as “the strongest activity momentum recorded in about five years.”

The report indicated that major employment-generating sectors sustained expansion during the month. Sectoral PMI readings showed agriculture at 58.5 points, industry at 57.0 points, while the services sector recorded 51.9 points, signaling broad-based growth in business output.

The Survey further revealed that 32 out of the 36 subsectors monitored recorded expansion in production levels, new business orders and employment. According to the Bank, the outcome reflects a steady recovery in domestic demand and rising productive activity, particularly within the non-oil economy.

The CBN attributed the improved PMI readings to the impact of ongoing macroeconomic stabilisation measures and efforts to support the operating environment and business confidence.

It said these interventions continued to “bolster job creation, production efficiency, and overall optimism about economic prospects in the fourth quarter of 2025.”

The December PMI reading, the Bank added, strengthens expectations of a stable growth outlook as Nigeria moves into the new year.

Nigeria’s external reserves have risen to $46.7 billion as of November 14, 2025, providing 10.3 months of import cover in goods and services.

The Central Bank of Nigeria (CBN) attributed the growth to steady inflows and renewed investor participation across different asset classes.

CBN Governor, Mr. Olayemi Cardoso, represented by the Deputy Governor, Economic Policy Directorate, Mr. Muhammad Sani Abdullahi, disclosed this at a colloquium marking the 20th anniversary of the Bank’s Monetary Policy Department (MPD).

He said the increase in reserves “reflects investor confidence in our policies leading to improved oil receipts, stronger balance of payments, and renewed foreign portfolio inflows.”

Cardoso linked the rising confidence to recent upgrades of Nigeria’s sovereign outlook by the three leading international ratings agencies, including S&P Global Ratings, which recently revised Nigeria’s outlook from stable to positive. According to him, the upgrade “reflects the impact of sustained reforms that have placed our economy on a more resilient path.”

He also noted that Nigeria’s removal from the Financial Action Task Force (FATF) Grey List marked “another significant milestone in restoring international confidence in our financial system.”

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Cardoso stated that the development shows “our full alignment with global standards on anti-money laundering and counter-terrorism financing,” adding that it opens more opportunities for foreign investment and trade finance.

The CBN Governor said the combination of these developments has strengthened the currency, boosted trade balances and provided a firmer base for inclusive growth.

Speaking on the role of the MPD, Cardoso described the Department as central to the Bank’s policy architecture. He noted that it supports the Monetary Policy Committee (MPC) and the Monetary Policy Technical Committee (MPTC) with research, analysis and coordination to ensure coherence in decision-making.

A major task ahead, he said, is the Bank’s transition to a full inflation-targeting regime. Cardoso stressed that the shift is “a strategic imperative for anchoring expectations and sustaining price stability.” He added that inflation targeting will promote transparency, boost credibility and improve how monetary policy decisions transmit through the economy.

Cardoso urged MPD staff to remain focused on the bigger national goal. “Remember that our ultimate goal extends beyond technical achievements. It is about building a resilient economy that fosters growth, creates jobs, and delivers shared prosperity. Monetary policy must remain credible, coherent, and adaptive to changing realities,” he said.

He further encouraged them to maintain high standards. “The journey ahead requires even greater commitment, creativity, and collaboration. Continue to innovate, continue to strengthen coordination, and continue to uphold the highest standards of professionalism,” he said.

Director of the Monetary Policy Department, Dr. Victor Oboh, in his address, traced the evolution of the department from its early team-based structure to a modern system built around five specialized divisions covering macroeconomic analysis, monetary policy, committee coordination, international economic relations and policy research. He said the department has consistently produced experts who have served as special advisers and directors to successive CBN governors.

Oboh noted that the department has grown into a strategic centre of the Bank’s policy framework, supporting the MPC with high-level research and analysis that aligns Nigeria’s policy decisions with global standards. He recalled key historical moments—such as the global financial crisis, commodity price shocks and the COVID-19 pandemic—where MPD’s capacity “proved its resilience and relevance.”

Th MPD Director further explained that Nigeria’s gradual migration toward inflation targeting followed lessons from global and domestic crises. According to him, the CBN moved from an exchange rate targeting framework to monetary targeting, before adopting a hybrid model that integrates elements of inflation targeting.

Oboh said the Bank has made significant progress since announcing its decision to adopt inflation targeting in late 2023. “We have pursued a disciplined monetary policy stance, hosted high-level monetary policy forums to deepen dialogue on disinflation, and strengthened policy communication to anchor expectations,” he said.

He added that these efforts have helped moderate inflation, stabilize the foreign exchange market, reduce exchange rate gaps and increase external reserves to more than $46 billion. “Today, we stand at an advanced stage of this phased migration, integrating elements of inflation targeting into our hybrid framework while laying the foundation for a credible, forward-looking regime that will restore price stability and further strengthen investor confidence,” Oboh stated.

Reflecting on the theme of the anniversary, “Monetary Policy in Nigeria: Past, Present and Future,” Oboh described it as a moment for reflection and projection. He said the MPD’s work over two decades has strengthened credibility, supported transparency and sustained public confidence in monetary policy.

Looking ahead, he noted that the future of monetary policy would require even greater innovation and coordination. Oboh pointed out that global fragmentation, digital currencies such as stablecoins and climate-related financial risks will demand that MPD remains agile, data-driven and forward-looking.