The Central Bank of Nigeria (CBN) has reaffirmed its commitment to maintaining macroeconomic stability through coordinated, data-driven monetary policies aimed at curbing inflation, strengthening the financial system and sustaining economic growth.
Speaking at the 306th Monetary Policy Committee (MPC) press briefing, CBN Governor, Olayemi Cardoso, said the Committee was encouraged by the resilience of the Nigerian economy despite heightened global uncertainties and renewed geopolitical tensions.
According to him, the MPC project that Nigeria’s economy will maintain strong growth in 2026, driven by improved crude oil production, expansionary Purchasing Managers’ Index (PMI) readings and the positive impact of ongoing economic reforms.
Cardoso said the Committee remained firmly committed to preserving price and financial system stability while standing ready to implement appropriate policy measures to moderate inflation and return it to a single-digit trajectory over the medium term.
On the banking sector, the CBN Governor welcomed the successful outcome of the banking sector recapitalisation exercise, describing it as a major boost to the resilience of Nigeria’s financial system.
He also defended the recent regulatory action against 46 Microfinance Banks, explained that the intervention was necessary to address longstanding compliance and regulatory infractions. He stressed that safeguarding depositors’ funds remains the apex bank’s foremost priority, assuring Nigerians that the banking sector remains safe, sound and resilient.
Addressing developments in the foreign exchange market, Cardoso reaffirmed the CBN’s commitment to a transparent, liquid and market-driven exchange rate system based on willing buyer, willing seller principles. He noted that exchange rate movements would continue to reflect market fundamentals while ongoing reforms are expected to strengthen investor confidence, competitiveness and long-term economic stability.
The Governor also announced the introduction of the Nigeria Overnight Financing Rate (NOFR), describing it as a significant milestone in Nigeria’s financial markets. He explained that the new benchmark reflects actual overnight secured funding transactions between banks and will complement the Monetary Policy Rate (MPR), improve monetary policy transmission and support the country’s inflation-targeting framework.
On the payments ecosystem, Cardoso clarified that the commemorative ₦100 note, the standard ₦100 note and all approved naira denominations remain legal tender. He added that the CBN is committed to building a secure, inclusive and modern digital payments ecosystem in line with global best practices.
Cardoso also expressed delight over the CBN’s emergence as the recipient of the 2026 Central Banking Award, describing the recognition as a testament to the dedication and professionalism of the Bank’s staff and management.
He commended the Nigerian media for its support, noting that the international recognition underscores the importance of central banking decisions in shaping the lives of millions of Nigerians.
According to the Governor, Nigeria’s ongoing economic reforms are attracting global recognition because they are enhancing macroeconomic stability, boosting investor confidence and laying a solid foundation for sustainable economic growth.
