The Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, has announced that the recovery of the Naira is attracting foreign investors, signaling growing confidence in Nigeria’s economy. Speaking at the 2025 Monetary Policy Forum in Abuja, Cardoso emphasized that recent reforms in the foreign exchange (FX) market have made the Naira more competitive and reflective of its real value.
Key Highlights from Cardoso’s Address
- Naira’s Stability: The CBN’s efforts to stabilize the Naira have restored international confidence, with the currency now seen as more competitive.
- Foreign Investments: Cardoso noted that foreign investors are increasingly drawn to Nigeria due to attractive returns, with the CBN committed to sustaining these inflows.
- Inflation Control: Without the CBN’s interventions, inflation could have soared to 42.81% by December 2024. However, disinflation is now within reach, thanks to coordinated policy measures.
Cardoso highlighted that the CBN’s tightening measures, including raising the Monetary Policy Rate (MPR) to 27.50% and increasing the Cash Reserve Ratio (CRR) to 50%, have been instrumental in curbing inflation and stabilizing the economy. He also pointed to the clearing of a $7 billion FX backlog and the unification of exchange rate windows as key achievements.
FIRS Records Historic Revenue Collection
In a related development, the Federal Inland Revenue Service (FIRS) announced a record revenue collection of N21.6 trillion in 2024, surpassing its target by 11.6%. FIRS Executive Chairman, Dr. Zaccheus Adedeji, attributed this success to the dedication of staff and strategic focus on technology, processes, and people. Non-oil taxes accounted for 73.4% of total revenue, reflecting a significant shift in Nigeria’s revenue base.
Adedeji also revealed that the FIRS has set an ambitious target of N25.2 trillion for 2025, with plans to further leverage technology and enhance taxpayer services.
Fiscal and Monetary Synergy
Minister of Budget and Economic Planning, Senator Abubakar Bagudu, praised the collaboration between fiscal and monetary authorities, noting that it has been crucial in driving economic reforms. He emphasized the importance of investing in agriculture and domestic production to sustain growth and reduce inflation.
Bagudu also highlighted Nigeria’s bold reforms, which have garnered international recognition, including praise from global leaders and rating agencies.
Looking Ahead
Cardoso reiterated the CBN’s commitment to price stability and economic growth, while Adedeji outlined FIRS’s plans to institutionalize excellence through capacity building, technology adoption, and facility modernization. Both leaders expressed optimism about Nigeria’s economic trajectory, underscoring the importance of sustained reforms and stakeholder collaboration.
Stay tuned for further updates on Nigeria’s economic developments.
