CBN takes credit for inflation drop, forex stability

Etim Ekpimah

The Central Bank of Nigeria (CBN) has taken credit for the state of the nation’s economy, as inflation has begun to decline and stability has returned to the foreign exchange market.

Acting Director of the Corporate Communications Department, CBN, Mrs Hakama Sidi Ali, who represented the CBN governor, Olayemi Cardoso, said the efforts of CBN Governor, Mr Olayemi Cardoso, are yielding positive results due to price stability.

Speaking in Uyo on Tuesday during CBN’s Fair, the governor said that since assuming office two years ago, he has spearheaded many key policies to strengthen the financial system.

He said: “Under the leadership of Mr Olayemi Cardoso, the management of the bank remains firmly committed to fostering productivity, enhancing financial inclusion, and maintaining monetary and price stability.

“These efforts are already yielding positive results, as evidenced by the steady decline in inflation and current stability in the foreign exchange market.”

According to him, the policies include “Exchange rate unification, which aims to minimise arbitrage opportunities and reduce volatility in the foreign exchange market, and cleared over $7 billion of the verified backlog of forex forwards.

He said the theme of the Fair, “Driving Alternative Payment Channels as Tools for Financial Inclusion, Growth and Accelerated Economic Development,” was carefully selected to address the links that catalyze critical activities for the much-needed price and monetary stability.

“Bank recapitalisation:  To strengthen the resilience and global competitiveness of the banking sector, positioning it to support the $1 trillion economy.

“Launched the non-resident BVN to connect Nigerians abroad with home banking facilities.

“The BMatch System for forex trading: To enhance market integrity and facilitate better price discovery.  The initiative is also expected to improve uniformity in trading and ensure seamless operations among market participants.

“Unveiled the Nigeria Payments System Vision 2028 (PSV 2028): To accelerate digital transformation, broaden financial inclusion, and minimise downtime for faster and safer transactions.

“Introduction of 75 per cent CRR on non-TSA public sector deposits:  This is aimed at enhancing liquidity management and mitigating potential inflationary pressures.”

He added that other measures, including sensitising members of the public on how the bank’s policies enhance their lives and livelihoods, and contribute to the growth and development of the Nigerian economy.

The bank, however, urged members of the public to rely only on information disseminated through the verifiable official handles of the Central Bank of Nigeria, which include: Website (www.cbn.gov.ng); Facebook (@cenbankng); ‘X’ (@cenbank); YouTube (@cenbank); Instagram (@centralbankng). I also encourage you to respect and keep the Naira clean.  Do not spray, hawk, mutilate, or counterfeit the Naira. It is our critical national symbol.

Cardoso added that the bank’s dedicated team is on hand to take anyone through presentations on different operations of the bank, ranging from the recent innovations in the Nigerian payments system, microfinance sub-sector activities, developments in the foreign exchange market, protection of financial consumers, monetary policy instruments and processes, and all you need to know about the Naira.

Meanwhile, Branch Controller, CBN Uyo, Mrs Njideka O. Nwabukwu, said the conference would feature presentations from key departments to engage directly with the bank’s customers and stakeholders in the State.

She explained that one of the key objectives of the fair is to sensitise the public on various initiatives of the Central Bank of Nigeria, while also creating a platform to receive valuable feedback that will help improve their service delivery and policy implementation.

She noted that the theme of the 2025 fair is both relevant and forward-looking, adding that as the apex financial institution, the CBN plays a critical role in shaping the economic direction of the nation.

Through strategic policies and regulatory frameworks, the bank continues to enhance payment systems, thereby promoting financial inclusion and supporting sustainable economic growth.

“As you know, branches play supportive roles in the achievement of the Bank’s mandate, by cascading & implementing policies, programmes, and initiatives at the state and grassroots levels.

“Uyo Branch remains committed to upholding the mandate of CBN, while supporting the economic aspirations of Akwa Ibom State through effective stakeholders’ engagement, financial literacy campaigns, and seamless service delivery,” she said.

At the technical session, farmers, artisans, small business owners, as well as petty traders received training on how they could take loans from microfinance banks.

The facilitator, Ijeoma Okonkwo, stressed the need for the trainees to take loans from microfinance banks to finance their business. She added that the banks do not require collateral from them for them to stay away from collecting loans.

Our correspondents investigated the drop in inflation and the currency stability.

Quoting the National Bureau of Statistics, Nigeria, which said the annual inflation rate eased for the fifth month to 20.12% in August 2025, marking the softest reading since July 2022, mainly supported by foreign exchange stability and the harvest season, alongside base effects linked to the base year change early this year.

Food inflation, the largest component of the inflation basket, decelerated to 21.87% in August, from 22.74% previously.