CBN GOVERNOR HIGHLIGHTS DANGOTE REFINERY’s IMPACT ON EASING FX PRESSURE AND REDUCING FOOD PRICES
The Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, has stated that lifting petroleum products from the Dangote Refinery will help reduce foreign exchange demand pressures and moderate transportation costs, which in turn could ease food prices across Nigeria. Speaking in Abuja after the 297th Monetary Policy Committee (MPC) meeting, Cardoso highlighted that the refinery's operations will significantly reduce the need for importing refined petroleum, thus alleviating pressure on the country’s external reserves and improving the balance of payments.
Cardoso also reassured the public about the stability of Nigeria’s financial institutions, noting that despite existing economic challenges, the banking industry remains stable and sound. The MPC emphasized the need to maintain strict supervisory oversight of the sector to ensure its continued contribution to the economy.
On food inflation, Cardoso pointed out that several factors, including flooding, rising energy costs, and insecurity in farming communities, continue to pose risks. However, he acknowledged the Federal Government's efforts to address these challenges, particularly its initiative to open a duty-free import window for food commodities to bridge the food supply gap.
The Governor underscored the importance of sustained governmental action to tackle food inflation and secure Nigeria’s financial stability in the medium term.
The Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, has stated that lifting petroleum products from the Dangote Refinery will help reduce foreign exchange demand pressures and moderate transportation costs, which in turn could ease food prices across Nigeria. Speaking in Abuja after the 297th Monetary Policy Committee (MPC) meeting, Cardoso highlighted that the refinery's operations will significantly reduce the need for importing refined petroleum, thus alleviating pressure on the country’s external reserves and improving the balance of payments.
Cardoso also reassured the public about the stability of Nigeria’s financial institutions, noting that despite existing economic challenges, the banking industry remains stable and sound. The MPC emphasized the need to maintain strict supervisory oversight of the sector to ensure its continued contribution to the economy.
On food inflation, Cardoso pointed out that several factors, including flooding, rising energy costs, and insecurity in farming communities, continue to pose risks. However, he acknowledged the Federal Government's efforts to address these challenges, particularly its initiative to open a duty-free import window for food commodities to bridge the food supply gap.
The Governor underscored the importance of sustained governmental action to tackle food inflation and secure Nigeria’s financial stability in the medium term.