Cardoso stands firm on orthodox CBN policies amid reform efforts
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has rejected calls for the CBN to return to interventionist programmes. He emphasized that previous intervention measures distorted the bank’s balance sheet and weakened policy effectiveness. Cardoso reaffirmed the institution’s commitment to transparency, evidence-based decision-making, and orthodox monetary policy. The CBN highlighted ongoing reforms as crucial for restoring confidence and stability in the Nigerian economy.
What we know
- Olayemi Cardoso made his remarks during the opening session of a Monetary Policy Committee workshop held on May 21, 2026.
- The CBN stated that past interventionist programmes blurred the distinction between fiscal and monetary responsibilities and reduced policy effectiveness.
- Reforms under the current leadership have restored orthodox monetary policy and improved transparency, liquidity management, and policy communication.
- The bank reported that inflation has begun to moderate and exchange-rate stability has improved due to these reforms.
- The recently concluded banking recapitalisation exercise was cited as evidence of effective policy coordination and strong financial-sector supervision.
