The Central Bank of Nigeria (CBN) is taking significant steps to improve transparency and trust within the nation’s financial sector. Governor Olayemi Cardoso announced the establishment of a new Compliance Department at the CBN, designed to align the apex bank’s operations with global standards and address past challenges.
Speaking at the launch of the Nigerian Economic Summit Group’s 2025 macroeconomic outlook, Cardoso emphasized that the department, set to begin operations by the end of February 2025, will play both an inward-facing and outward-facing role in driving reform and growth in the financial industry.
The new unit aims to rebuild confidence in the banking system by fostering accountability and transparency.Nigerian Foreign Exchange (FX) Code: Released earlier this week, the code establishes ethical guidelines for FX transactions, ensuring professionalism and integrity in the sector.
The CBN will prioritize exchange rate stabilization to create a more competitive business environment and attract foreign investment.The bank plans to strengthen financial institutions to better support the real sector and drive economic development. While reversing some cash withdrawal limits, the CBN reiterated its commitment to promoting a cashless economy
Cardoso highlighted the importance of partnerships between monetary and fiscal authorities and collaboration with the private sector as critical to achieving these goals. These initiatives align with the CBN’s broader strategy of fostering financial sector reforms to drive economic growth and attract investment.
These moves come amidst increasing pressure on the CBN to address economic challenges, including currency instability and low investor confidence, while also supporting Nigeria’s development goals. The coming months will likely test the bank’s ability to implement these ambitious reforms effectively.