By Esther Ososanya
Nigeria may be basking in the glow of global praise, but Central Bank Governor Olayemi Cardoso says it’s no time to relax.
Speaking during the Monetary Policy Committee (MPC) meeting in Abuja, Cardoso acknowledged the International Monetary Fund’s (IMF) commendation of Nigeria’s recent fiscal and monetary reforms but issued a stern reminder,the journey is far from over.
“These reforms are transformational and here to stay,” Cardoso said. “But we must remain focused to protect the gains we’ve made.”
The governor’s comments follow the IMF’s latest Article IV Consultation, which applauded Nigeria’s bold steps, including fuel subsidy removal, FX unification, and tighter monetary controls, as essential to macroeconomic recovery. Global rating agency Moody’s has also revised Nigeria’s outlook positively.
IMF Praise Isn’t the Finish Line
While international validation is welcome, Cardoso emphasised that investor confidence depends more on discipline than headlines.
“Policy headlines attract attention. But only policy consistency keeps investors in,” he said. “We must double down, not ease off.”
According to him, reforms such as narrowing the parallel and official exchange rate gap, enabling naira card usage abroad, and reducing monetised deficits are only early indicators of recovery, not guarantees.
Inflation Still Looms: “We Want Single Digits”
Although Nigeria’s year-on-year headline inflation eased from 22.97% to 22.22% in June, month-on-month inflation rose from 1.53% to 1.68%.
The CBN attributes this spike to food and energy costs but reaffirmed its tight monetary stance as essential.
READ ALSO: CBN Keeps Rates at 27.5%, Focuses on Inflation Control
Cardoso pointed to core tools – Monetary Policy Rate (MPR), Cash Reserve Ratio (CRR), and FX market discipline – as critical weapons in the fight against inflation.
“We’re coming from years of excess liquidity,” he said. “These pressures don’t vanish overnight. But we are committed to bringing inflation down to single digits.”.
The CBN governor also addressed external risks such as a potential economic crisis in China, volatile oil prices, and rising global inflation, assuring Nigerians that the country is better prepared than in the past.
Key buffers include:
- Foreign reserves above $40 billion
- Improved domestic oil production
- Diaspora access via non-resident BVN
- Stable banking sector despite global shocks
We’ve diversified our reserve base and improved investor confidence. The numbers are holding up, even amid global volatility,” Cardoso noted.
Manufacturing Sentiment Not a Red Flag
In response to concerns about rising input costs reported in recent Purchasing Managers’ Index (PMI) data, Cardoso clarified that manufacturers are absorbing costs rather than transferring them to consumers, a sign of healthy market adjustment.
“That’s not panic. That’s strategy,” he said.
Recapitalization Deadline Nears — 8 Banks Already Ahead
With the bank recapitalisation deadline just eight months away, the governor confirmed that eight Nigerian banks have already surpassed the required capital threshold. One institution even raised major funds on the London Stock Exchange, reflecting renewed international confidence.
“Our capital adequacy ratio is 13%, and NPLs are down to about 5%. The banking system is resilient and fit for purpose,” Cardoso said.
Closing his remarks, the CBN governor warned against premature optimism, urging Nigerians and policymakers to remain vigilant.
“This is not the time to celebrate,” he said. “It is the time to stay the course and prove to the world that Nigeria means business.”
Esther Ososanya is an investigative journalist with Pinnacle Daily, reporting across health, business, environment, metro, Fct and crime. Known for her bold, empathetic storytelling, she uncovers hidden truths, challenges broken systems, and gives voice to overlooked Nigerians. Her work drives national conversations and demands accountability one powerful story at a time.
