The Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has stated that Nigeria’s ongoing macroeconomic reforms are strengthening the country’s resilience against economic shocks and restoring investor confidence.
Cardoso made this known while delivering a lecture at St. Gregory’s College Old Boys Association Founders’ Day event in Lagos, where he spoke on the theme “Strong Foundations: From the Classroom to Capital Base.”
He explained that Nigeria’s economy in recent years faced multiple challenges, including macroeconomic imbalances, foreign exchange volatility, rising inflation, and structural inefficiencies that weakened confidence across markets.
According to him, these pressures pushed the financial system close to crisis levels, making it difficult for businesses to plan, discouraging investors, and eroding public trust.
Cardoso stressed that restoring stability requires disciplined, long-term policy implementation rather than short-term fixes. He noted that this approach has guided reforms across the financial system.
He emphasized that strong banking institutions must operate within a stable macroeconomic environment, adding that the CBN has focused on rebuilding core frameworks to achieve its mandate of price stability.
The CBN Governor highlighted significant progress, noting that Nigeria’s financial system has expanded over the past two decades, with local banks now operating across multiple African markets and supporting trade, infrastructure, and investment.
He further revealed that the apex bank’s tight monetary policy has helped reduce inflation from a peak of 34 percent to about 15 percent, while reforms have eliminated the multiple exchange rate system that previously distorted the market.
Cardoso added that the gap between official and parallel market exchange rates has narrowed significantly, dropping from about 50 percent in 2022 to less than 2 percent on average in 2025.
He stated that the foreign exchange market now operates with improved liquidity and efficiency, with cleared backlogs and reduced reliance on extraordinary interventions by the CBN.
Additionally, he disclosed that capital and investment inflows increased by nearly 200 percent between 2023 and 2025, reflecting renewed investor confidence.
Cardoso also noted that Nigeria’s external reserves have surpassed $50 billion, signaling improvements in the country’s balance of payments and stronger inflows into the economy.
He concluded that the relative stability of the naira is a direct result of deliberate reforms aimed at rebuilding trust among both domestic and international investors.
The lecture attracted economists and stakeholders from various sectors.
Written by Ebere Obike