The Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, has unveiled strong measures to attract foreign exchange (FX) inflows and cushion the economy from the recent dip in global oil prices.
Writing for THISDAYLIVE, Adeyinka Salami reports that these initiatives aim to stabilize the naira, promote local production, and expand Nigeria’s export potential.
Global crude oil prices recently fell sharply, trading just above $60 per barrel, with projections indicating Brent could drop below $50 by year-end 2025.
This poses a risk to Nigeria’s oil-dependent economy, with potential fiscal deficits and inflationary pressures. However, Cardoso is confident that the CBN’s strategies will shield the economy.
“The apex bank is taking measures to improve Nigeria’s export potential, promote backward integration to reduce imports, and simplify dollar remittances for Nigerians in the diaspora,” Cardoso said. He added, “Nigeria’s creative sector alone has the potential to attract $25 billion annually through music, film, crafts, and digital exports.”
The CBN is urging businesses to adopt export-oriented approaches in agriculture, manufacturing, and creative industries, shifting from raw exports to value-added products. Additionally, telecom firms are encouraged to embrace local production of key components such as SIM cards and cables. Speaking during a visit by Airtel Africa’s management, Cardoso emphasized that “local production would reduce dollar pressure, create jobs, and boost the economy.”
Airtel Africa’s CEO, Sunil Taldar, praised the CBN reforms and pledged support for local manufacturing, stating it would “benefit telecom companies in the long run and expand financial inclusion through technology.”
Economic analysts note improved FX market stability, with foreign portfolio inflows up by over 72% and foreign exchange reserves rising to over $40 billion—Nigeria’s highest in nearly three years. Cardoso highlighted that a $6 billion current account surplus in the first half of 2024 reflects the success of these reforms.
To further boost FX inflows, the CBN recently launched two financial products targeting Nigerians in the diaspora—the Non-Resident Nigerian Ordinary Account and the Non-Resident Nigerian Investment Account.
“These will streamline remittances, encourage investments, and foster financial inclusion among Nigerians abroad,” the CBN said.
Dr. Aminu Gwadabe, President of the Association of Bureaux De Change Operators of Nigeria, described diaspora remittances as “a crucial source of foreign exchange, supplementing both foreign direct and portfolio investments.”
The CBN’s multi-pronged approach reflects its commitment to stabilizing the naira, enhancing export growth, and building a resilient economy amid global uncertainties.
