Nigeria’s tough but necessary policy decisions are paying off — Cardoso

NIGERIA’S bold economic reforms are beginning to yield positive results, according to Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso.

Speaking at the Inaugural Economic Policy Conference for Emerging Market Economies in Riyadh, Saudi Arabia, Cardoso expressed confidence in the country’s economic trajectory despite the initial challenges associated with the reforms.

He emphasized that the CBN’s policies are stabilizing the economy and strengthening the banking sector. “These tough but necessary policy decisions are paying off,” he stated. His remarks came amid ongoing efforts to implement structural adjustments aimed at improving macroeconomic stability and fostering long-term growth.

Cardoso highlighted several key policy measures the CBN has undertaken to address economic challenges. Among them is the ongoing recapitalization of banks, which he assured would fortify Nigeria’s financial institutions against future economic shocks. “CBN’s recapitalization mandate is strengthening Nigeria’s financial sector, ensuring banks are well-equipped to handle future uncertainties,” he noted.

The central bank has also focused on stabilizing the exchange rate, curbing inflation, and ensuring monetary policy consistency. While these measures have initially caused some discomfort, they were designed to create a more resilient economy in the long run.

Beyond domestic policies, Cardoso underscored the need for stronger economic ties with the Middle East and the Nigerian diaspora community in the region. He believes that enhanced collaboration could attract foreign investment, boost trade, and support economic diversification efforts.

Additionally, the CBN is pushing for greater financial inclusion, particularly through digitalisation. “Digitalisation is key to Nigeria’s financial inclusion efforts. With mobile money services and tech-driven solutions, the CBN aims to expand financial access for underserved communities, particularly women,” he said.

The central bank has been promoting digital banking and fintech solutions to ensure more Nigerians participate in the formal financial system. These efforts align with global trends and are expected to drive financial literacy and economic participation.

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Despite the progress, Nigeria’s economy still faces significant hurdles, including inflationary pressures, exchange rate volatility, and structural bottlenecks. However, Cardoso reassured stakeholders that the CBN remains committed to maintaining macroeconomic stability and sustaining policy consistency.

“We are focused on ensuring long-term resilience for the Nigerian economy,” he affirmed.

While some critics argue that the impact of these reforms has yet to fully materialise for ordinary Nigerians, the CBN remains optimistic that the policies will create a more sustainable and prosperous economic future.