Reflections from the Keynote Address by CBN Governor Olayemi Cardoso at the Chartered Institute of Bankers of Nigeria Annual Dinner, November 29, 2024
A Robust Banking Sector Leading Economic Growth
Governor Olayemi Cardoso celebrated the resilience of Nigeria’s banking sector, highlighting its critical role in economic recovery and growth. Key indicators such as a non-performing loan ratio below the prudential benchmark of 5% and a liquidity ratio exceeding the regulatory minimum of 30% reflect the sector’s soundness. These achievements are bolstered by the proactive capital buffer strengthening initiatives, which have seen significant progress ahead of the 2026 deadline.
The Governor underscored the importance of extending financial inclusivity through Other Financial Institutions (OFIs), including Primary Mortgage Banks (PMBs) and Microfinance Banks (MFBs). With strategic integrations like the GSI platform and enhanced foreclosure laws, the CBN aims to reduce delinquency, strengthen efficiency, and expand credit access to underserved Nigerians.
Celebrating Nigeria’s Payment Innovations and Fintech Growth
The Governor lauded Nigeria’s advanced payments ecosystem and dynamic fintech industry, which continue to attract global investment and drive financial inclusion. However, he cautioned against vulnerabilities such as fraud and delays in payment gateway transactions, calling for enhanced KYC processes, robust monitoring, and strengthened consumer protection. “Trust is the foundation of digital transactions,” he emphasized, pledging strict penalties for non-compliance and urging institutions to prioritize service delivery for vulnerable populations.
Vision 2025: Transforming Payments and Financial Inclusion
The CBN’s Payment System Vision 2025 initiative sets the stage for transformative developments, including seamless cross-border payments, the advancement of contactless systems, and optimized adoption of the e-Naira. Governor Cardoso also introduced frameworks to bridge financial inclusion gaps, particularly for women, through initiatives like the CBN Women Financial Inclusion Data Dashboard, designed to foster accountability and improve access for underserved groups.
Transparency and Compliance: Pillars of Public Trust
Governor Cardoso reinforced the CBN’s commitment to transparency as a cornerstone of governance and public confidence. Regular updates on key reports, such as the Purchasing Managers’ Index (PMI) and financial stability data, now empower businesses and analysts with critical insights.
On compliance, he addressed Nigeria’s efforts to exit the Financial Action Task Force (FATF) grey list by Q2 2025. He emphasized the need for institutions to anticipate vulnerabilities, conduct rigorous due diligence, and champion zero tolerance for unethical practices. The Governor’s declaration, “Compliance protects not just institutions but the entire financial ecosystem,” resonated with stakeholders.
Driving Economic Diversification and Inflation Control
The Governor called for urgent diversification of Nigeria’s economy, highlighting the role of strategic fiscal and monetary policies in driving growth. He noted a significant improvement in Q3 2024 GDP growth, driven by the services sector, telecoms, and domestic refining, while acknowledging the need for targeted interventions in agriculture and manufacturing.
Inflation control remains a central priority, with a strategic deployment of monetary policy tools to maintain price stability and promote sustainable growth.
Investing in Talent for Future Progress
Governor Cardoso reflected on his engagement with Nigeria’s youth and emphasized capacity-building as key to national progress. The CBN plans to introduce mentorship and internship programs to nurture the nation’s brightest minds.
A Vision of Collaboration and Clarity
As he concluded, Governor Cardoso reassured stakeholders of the CBN’s commitment to tackling today’s challenges while securing opportunities for tomorrow. “The road ahead is rich with potential,” he affirmed, calling for collaboration to build a resilient, inclusive, and prosperous Nigeria.
This keynote serves as a powerful reminder of the CBN’s pivotal role in fostering stability, trust, and growth across Nigeria’s financial ecosystem.
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