The Central Bank of Nigeria (CBN) has announced that a combination of strategic macroeconomic reforms, improved trade performance, and renewed investor confidence is beginning to yield positive results for the Nigerian economy.
Speaking at the 36th Enugu International Trade Fair, hosted by the Enugu Chamber of Commerce, Industry, Mines, and Agriculture (ECCIMA), the CBN revealed a significant turnaround in the country’s economic outlook — with a $6.83 billion balance of payments surplus recorded at the end of 2024. This marks a remarkable recovery from deficits of $3.34 billion in 2023 and $3.32 billion in 2022.
Economic Turnaround in Motion
Delivering the keynote address at the CBN Special Day, Mrs. Hakama Sidi Ali, Acting Director of Corporate Communications at the apex bank, emphasized the institution’s ongoing commitment to resolving Nigeria’s macroeconomic challenges and safeguarding a resilient banking sector.
Ali highlighted that the CBN is actively supervising the ongoing bank recapitalisation process, ensuring the injection of quality capital that aligns with its reform objectives.
She stated:
“The current leadership of the CBN is focused on correcting long-standing economic issues and boosting productivity, especially among Small and Medium Enterprises (SMEs)—the lifeblood of any thriving economy. Strengthening local industries is also a priority, to shield the economy from external shocks.”
Ali explained that meaningful industrial development hinges on three critical pillars:
- Strong financial fundamentals
- Stable foreign exchange markets
- Effective collaboration between monetary and fiscal authorities
According to her, these strategies are already yielding results, as evidenced by increased foreign direct investment (FDI), portfolio inflows, and a growing positive trade balance.
“The $6.83 billion surplus in our balance of payments for 2024 is a clear signal of economic resurgence,” she added.
Banking Sector and Payment Systems Holding Strong
Ali further stated that Nigeria’s payments system remains one of the most respected globally, thanks to the CBN’s continuous efforts to enhance infrastructure and ensure efficiency in the financial system.
ECCIMA Commends CBN’s Progress but Urges Caution
Sir Odega Jideonwo, President of ECCIMA, applauded the CBN for its bold policy steps aimed at restoring investor and business confidence. However, he expressed concern over certain aspects of these measures — particularly the recent increase of the Monetary Policy Rate (MPR) to 27.50%, which he feared might stifle access to credit for businesses.
“High interest rates could limit credit access for businesses,” Jideonwo warned. “And there’s a direct link between the cost of funds and levels of productivity, GDP growth, and overall economic stability.”
He acknowledged that while the CBN’s reforms are well-intentioned, their practical impact on everyday businesses remains to be fully seen. He encouraged the bank to ensure that its policies align with the ‘Renewed Hope’ agenda of the Federal Government, especially in promoting economic inclusion and sustainability.
“We’re hopeful that these reforms will soon begin to reflect clearly in business outcomes and the broader Nigerian economy,” he concluded.
