CBN Governor Olayemi Cardoso says Nigeria’s economic reforms and tight monetary policy have helped reduce inflation, strengthen external reserves and attract investment.
The Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, says Nigeria’s economic reforms and tight monetary policy have helped reduce inflation, strengthen external reserves and restore investor confidence.
Cardoso spoke on Thursday, October 15, 2026, during a panel discussion titled “Debate on the Global Economy: Forging Resilient and Dynamic Economies for the Future” at the International Monetary Fund (IMF) and World Bank Group Annual Meetings in Bangkok, Thailand.
He said foreign exchange market adjustments and aggressive monetary tightening were necessary to address structural weaknesses in the economy and restore confidence in monetary policy.
According to Cardoso, inflation, which peaked at about 34 per cent, has gradually declined to approximately 15 per cent.
The CBN governor also said Nigeria’s external reserves had risen to their highest level in 18 years, which he attributed to improved confidence in the country’s economic management.
Cardoso said the CBN raised interest rates aggressively in 2024, even as some other economies began easing monetary policy.
He explained that the measures were intended to strengthen the transmission of monetary policy decisions through the economy and align market expectations with the bank’s actions.
The governor added that clear communication and consistency in implementing reforms had helped prevent market panic and improve confidence in the apex bank.
He also recalled the severe external financing challenges Nigeria faced, including net external reserves falling to about three billion dollars and outstanding foreign exchange obligations exceeding seven billion dollars.
According to him, the CBN’s monetary policy approach helped stabilise the foreign exchange market, settle outstanding obligations and improve conditions for investment.
Cardoso identified diaspora remittances as an increasingly important source of foreign exchange for Nigeria.
He said monthly remittance inflows rose from approximately 200 million dollars to 600 million dollars within a year, with the country subsequently targeting one billion dollars in monthly inflows.
He added that remittances reached about 950 million dollars in July, attributing the improvement partly to digital financial services, engagement with Nigerians abroad and efforts to remove obstacles to international money transfers.
The governor said sustaining these gains would require continued reforms and broader sources of foreign exchange earnings.
Cardoso stressed that Nigeria must maintain its reform momentum and diversify government revenue and foreign exchange sources beyond crude oil to strengthen economic resilience.
He cited the Dangote Refinery as an example of domestic value addition, arguing that local refining could help reduce the country’s dependence on exporting crude oil and importing refined petroleum products.
He also said improved macroeconomic stability had supported Nigeria’s return to international market indices, including those associated with FTSE and JPMorgan.
Cardoso maintained that the credibility of Nigeria’s reforms would depend on consistent implementation rather than promises.
He added that Nigeria, given its population and position as a major African economy, had a responsibility to demonstrate how sustained policy reforms could deliver lasting economic change.
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