Governor of the Central Bank of Nigeria (CBN), Mr Olayemi Cardoso, has emphasised the need to build strong institutions and sound financial foundations to ensure sustainable economic growth in Nigeria.
Cardoso made the call while delivering a distinguished alumni lecture at the Founders Day celebration of St. Gregory’s College, Lagos, where he spoke on the theme “Strong Foundations: From the Classroom to the Capital Base.”
He said the same values that build strong individuals, discipline, integrity and responsibility were equally vital in building resilient institutions and stable economies.
According to him, sustainable economic stability cannot be achieved through short-term measures alone but through disciplined policies, credible institutions and resilient financial systems.
Cardoso noted that Nigeria’s financial system had faced pressures in recent years, including foreign exchange volatility, inflation and structural inefficiencies, adding that the apex bank had introduced reforms to rebuild confidence and strengthen the financial system.
He said the banking recapitalisation programme launched in 2024 was designed to ensure Nigerian banks had adequate capital to support economic transformation and absorb potential shocks.
“As of March 12, 2026, 33 banks have successfully raised additional capital, while 30 have already met the new minimum capital requirements for their respective licence categories,” he said.
“The remaining institutions are undergoing the CBN’s routine verification process in line with the compliance timeline.”
Cardoso added that the apex bank had also restored orthodox monetary policy and curtailed quasi-fiscal interventions that previously distorted the macroeconomic environment.
According to him, the measures has helped moderate inflation from about 34 per cent at its peak to around 15 per cent.
He said reforms in the foreign exchange market had also eliminated multiple exchange rates and significantly narrowed the gap between the official and parallel markets.
“The parallel market premium has dropped from about 50 per cent in 2022 to less than two per cent on average in 2025,” he said.
Cardoso added that the reforms had boosted investor confidence, increased capital inflows and strengthened Nigeria’s external reserves, which he said had risen above 50 billion dollars.
He stressed that strong institutions remain the bedrock of economic resilience, particularly in an uncertain global environment marked by geopolitical tensions and energy market volatility.
“Strong foundations determine whether systems can withstand shocks. The same principle applies to economies, institutions and nations,” he said.
Cardoso, an alumnus of St. Gregory’s College, also encouraged alumni associations across the country to nurture leadership and contribute to national development. (NAN)
