The Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has reaffirmed the apex bank's commitment to achieving macroeconomic stability, strengthening the banking sector, and positioning Nigeria as a leading investment destination. Speaking at a fireside chat moderated by Deutsche Bank Nigeria’s Chief Country Representative Andreas Voss in Lagos on September 6, 2025, Cardoso stated that the ongoing bank recapitalisation exercise is making good progress.
Cardoso described the recapitalisation initiative as a crucial step to create stronger banking institutions capable of withstanding economic shocks and driving growth financing. He acknowledged that although headline inflation remains elevated, it is on a decreasing trend thanks to collective efforts.
“We will protect the stability that has been re-established in the financial system with the utmost zeal,” Cardoso noted. He emphasized the primary objectives of maintaining financial stability while addressing inflation and ensuring the banking system’s resilience to support corporate lending and investment.
On concerns about high lending rates' impact on investment, Cardoso expressed optimism that interest rates have substantial potential to decline in the future as inflation comes down and market efficiency in capital allocation improves.
The recapitalisation program, which started in 2024, has seen eight banks meet the CBN’s N500 billion capital requirement ahead of the March 2026 deadline, signaling strengthened financial soundness in Nigeria’s banking sector.