CBN reaffirms commitment to single-digit inflation, market stability

Abdullateef Fowewe

In a recent conversation with Hélène Rey, Lord Bagri Professor of Economics at London Business School, Central Bank of Nigeria Governor, Olayemi Cardoso reiterated the Bank’s dedication to orthodox monetary policy aimed at achieving single-digit inflation in the medium term.

This was gathered in a statement obtained from the CBN on Sunday.

“We are headed in the right direction. The stage is set for the accelerated growth trajectory in Nigeria,” Cardoso said.

Reflecting on his tenure, Cardoso highlighted reforms in the foreign exchange market, underscoring that “transparency is key to stability in the market.”

He also drew attention to the strengthened buffers for Nigerian banks, explaining that the ongoing recapitalization exercise “has allowed banks to choose the category of license they wish to operate under.”

On technological advancement, the CBN Governor stressed the adoption of Artificial Intelligence (AI) and digitization for monetary purposes, stating it can be done “without compromising stability, inclusion, and trust.”

Further, Cardoso reaffirmed the Bank’s determination to control inflation and preserve financial system stability.

He also underscored the critical need for “communication and coordination between monetary and fiscal authorities to ensure stability in the economy.”