Olayemi Cardoso, Nigeria’s Central Bank governor, made his first policy speech since becoming governor in September at the Chartered Institute of Bankers of Nigeria’s annual dinner in Lagos on Friday, 24th November 2023. In his much-anticipated speech, Olayemi Cardoso emphasised that the bank’s policies aim to ensure a more stable exchange rate, control inflation, and create an enabling environment for businesses and individuals to thrive.
“Our commitment to achieving monetary and price stability is not just a technical objective, but it has real-life implications for the well-being of our citizens.” Says Cardoso.
Also standing out as one of the major highlights of the CBN’s governor speech was the Central Bank of Nigeria (CBN) plans for a recapitalisation of the nation’s banks to secure enough capital to achieve President Bola Tinubu’s $1 trillion Gross Domestic Product (GDP) target.
The last time the CBN forced banks to recapitalise was in 2004, under the leadership of Charles Soludo, who raised the capital base from N2 billion to N25 billion. However, Cardoso said banks will be directed once again to increase their capital base as they are not liquid enough to service the $1 trillion economy President Bola Tinubu is targeting in the future.
Regarding tackling institutional deficiencies and restoring corporate governance within the country’s financial sector, the CBN governor highlighted the importance of good corporate governance in underpinning financial stability and supporting economic growth, stating the CBN would strengthen regulations and implement prudent policies.
The 58th Annual Bankers Dinner, which was held on Friday, November 24, at the Eko Hotels Lagos, also marked the grand finale of the Chartered Institute of Bankers of Nigeria’s 60th Anniversary, underscoring six decades of commitment to professionalism, integrity, and innovation in the banking and finance industry.