• Senate praises CBN for stabilising inflation and naira exchange rates in first half of 2025
• Lawmakers cite transparency, FX reforms, and recapitalisation policy as key milestones
• CBN Governor outlines target to grow Nigeria’s GDP to $1 trillion by 2030
The Senate has commended the Central Bank of Nigeria (CBN) for what it described as encouraging progress in the nation’s monetary and financial policies over the past six months.
The commendation was delivered by the Senate Committee on Banking, Insurance, and Other Financial Institutions, chaired by Senator Adetokunbo Abiru (APC, Lagos East), during an official engagement with CBN Governor Dr. Yemi Cardoso in Abuja.
Senator Abiru stated that the Bank’s interventions had played a critical role in improving macroeconomic stability and restoring confidence in Nigeria’s financial system.
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He said: “Since our last meeting in December 2024, there have been encouraging developments.
“These include a reduction in inflation to 22.97% in May 2025 from 23.71% in April, gradual growth in external reserves, and improved exchange rate stability, with significant convergence between official and parallel market rates.”
The Committee attributed the gains to the Bank’s reform initiatives, including the FX Matching System and FX Code, which it said have increased transparency and discipline in the foreign exchange market.
The lawmakers also lauded the Monetary Policy Committee’s decision to hold the policy rate steady at 27.50% in both February and May 2025, following aggressive hikes in 2024.
“This signals a more balanced approach to managing inflation while supporting real sector growth,” Abiru noted.
The Committee further acknowledged the CBN’s limited but flexible regulatory forbearance granted to Deposit Money Banks to cushion the recapitalisation process and avoid systemic risk.
It also praised the renewal of the Nigeria-China currency swap agreement, saying it supports local currency settlements and reduces reliance on the U.S. dollar.
In addition, the launch of the Non-Resident Bank Verification Number (NRBVN) framework was hailed as a strategic step to boost Know-Your-Customer compliance and widen access to Nigeria’s banking system for diaspora citizens.
“This initiative is critical for deepening the financial inclusion of Nigerians abroad and improving the integrity of the banking sector,” the Committee said.
In his remarks, CBN Governor Yemi Cardoso reaffirmed the Bank’s long-term economic agenda, saying the recent policy reforms are geared toward achieving a $1 trillion GDP by 2030.
“To support this vision, we initiated a forward-looking recapitalisation of the banking sector as a catalyst for realising Nigeria’s economic potential,” he said.
While commending the CBN, Senator Abiru stressed that “some policy gaps and challenges” still exist and would be deliberated during an executive session.
