CBN wins NES award as reforms reshape Nigeria’s financial system

The Central Bank of Nigeria (CBN) has received the Distinguished Organisation Award from the Nigerian Economic Society (NES) for its institutional reforms and contribution to macroeconomic stability, as the apex bank’s foreign exchange, monetary and banking-sector measures continue to reshape the country’s financial system.

The award was presented at the 67th Annual Conference of the NES, held in Abuja from September 7 to 10, 2026, and was received on behalf of CBN Governor Olayemi Cardoso by Director, Monetary Policy Department, Dr Victor Oboh.

The recognition comes after about three years of major changes to Nigeria’s monetary, foreign exchange and financial-sector architecture, including the reform of the foreign exchange market, settlement of longstanding FX obligations, tighter control of central bank financing of government, the implementation of Payments System Vision 2028 and the recapitalisation of commercial banks.

The NES said the reforms had contributed to improvements in key macroeconomic indicators, including greater stability in the foreign exchange market, stronger external reserves and easing inflationary pressures.

It also pointed to improved investor confidence, capital and remittance inflows and a much narrower gap between official and parallel-market exchange rates.

The recognition, however, comes at a time when the transmission of these reforms into the wider economy remains a central policy challenge.

Nigeria’s external reserves have risen to $54.08 billion, the highest level since December 2008, while the naira has strengthened significantly at the official foreign exchange market. The IMF has also noted that reforms since the 2023 exchange-rate unification have substantially compressed the parallel-market premium compared with the severe distortions that characterised the earlier regime.

The improvement in the external position has provided a stronger buffer against foreign-exchange shocks, although recent market data show that differences between official and parallel rates can still widen when underlying dollar demand increases.

The CBN has also completed a major banking-sector recapitalisation programme designed to strengthen banks’ capacity to absorb shocks and provide more credit to the economy.

Speaking on the NES award, Cardoso described the recognition as an endorsement of the bank’s institutional reforms and its pursuit of macroeconomic stability.

“The Distinguished Organisation Award is a testament to the Central Bank of Nigeria’s unwavering pursuit of excellence, institutional resilience, and commitment to national development,” he said.

He added that the recognition reinforced the CBN’s commitment to building a stronger financial system and supporting sustainable economic growth.

“As it continues to implement reforms and innovate to fulfil its mandate, the CBN remains firmly committed to building a stronger economy and a brighter future for Nigeria,” Cardoso said.

The award follows the CBN’s recent international recognition as Global Central Bank of the Year, adding to the growing list of domestic and international acknowledgements for the institution’s reform agenda.

But the significance of the NES award ultimately rests on whether the reforms produce improvements beyond financial-market indicators.

The CBN’s tighter monetary framework has helped rebuild confidence in the naira and improve financial-system resilience, but high interest rates continue to influence the cost of credit for businesses and households.

Similarly, stronger reserves provide greater external protection, but Nigeria remains vulnerable to fluctuations in oil earnings, capital flows and global financial conditions.

The banking recapitalisation also raises expectations that stronger balance sheets will translate into increased lending to agriculture, manufacturing, infrastructure and small businesses rather than simply larger holdings of financial assets. That is where the next phase of reform will be tested.

Nigeria’s economy grew 4.43 per cent in real terms in the second quarter of 2026, up from 3.89 per cent in the first quarter, showing stronger momentum. Yet the broader objective remains to convert macroeconomic stability into lower business costs, greater investment, job creation and improved household incomes.