•Economic Stability Remains CBN’s Focus Amid Easing Inflation
By OBSERVERS TIMES.
By OBSERVERS TIMES.
Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, has called on Nigerians to increase their engagement with crucial policy documents, including the Nigeria Development Update (NDU) published by the World Bank. His remarks came during the launch of the May 2025 edition of the NDU in Abuja on Monday.
Cardoso lauded the World Bank for its bi-annual publication, describing it as a “very useful document.” However, he expressed concern over the apparent lack of interest from the Nigerian populace and policymakers in utilizing such readily available analysis.
“I do feel that Nigerians perhaps don’t read enough.
They don’t take advantage of, and policymakers by extension, of such useful analysis, which is readily available,” Cardoso stated. He pointed to the surprisingly low number of downloads of a specific CBN document from the bank’s website as evidence of this disengagement. “I remember at one point in time we looked at the website, and we were appalled by the fact that barely 1,000 or 2,000 people had downloaded that particular document.”
Despite acknowledging occasional differences in perspective, Cardoso encouraged the public to examine the NDU, emphasizing its value in understanding the complexities of the economic situation. “In some areas we are not necessarily on the same page, to be honest, but it’s still a useful framework to start to understand the complexities of the situation. So well done to the World Bank.”
Turning to the CBN’s core objectives, Cardoso affirmed the central bank’s unwavering commitment to achieving and maintaining economic stability, which he described as crucial for sustainable growth. “We continue, not just in attaining, but we continue to protect, so that forms the need for us to be proactive, to be able to understand risks, and to be able to move before the risks overwhelm us.”
He highlighted the significant moderation in foreign exchange (FX) rate volatility, which has reportedly decreased from approximately 4 percent a year ago to less than half a percent.
Cardoso assured that the CBN would continue to prioritize price and financial stability through proactive monitoring and risk management.
On the issue of inflation, the CBN Governor acknowledged its persistent nature but indicated that it is beginning to show signs of easing. He reiterated that the central bank would maintain its current orthodox monetary policy stance, expressing confidence that this approach would lead to further moderation in inflation and eventually lower interest rates. “We believe that if we continue the course of orthodox monetary policy, which you speak about, and which has brought about results, if we’re able to continue the course, which we will, then over time, the inflation should moderate,” he said.
Joining the discussion, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, emphasized the pivotal role of investment in the government’s strategy to stimulate economic growth and alleviate poverty.
He reiterated the administration’s ambitious target of achieving a 7 percent growth rate.
“In terms of where we go next, the key is investment; it is investment that allows increases in productivity that grows the economy, creates high quality jobs that lift Nigerians out of poverty in their millions, which is the aim of Mr. President,” Edun stated. He cited anecdotal evidence of increasing investor interest in various sectors, including telecoms technology, broadband access, and manufacturing for both domestic and export markets.
Edun also underscored the government’s commitment to strengthening the social safety net, ensuring that vulnerable populations are not left behind. He detailed ongoing efforts to digitize the process of identifying and directly assisting Nigerians in need through biometric verification and digital payment mechanisms like Bank Verification Numbers (BVN) and mobile money accounts.
The Minister concluded by expressing optimism that the ongoing reforms would sustain economic momentum and deliver robust macroeconomic growth for the country.
