The Central Bank of Nigeria (CBN) has unveiled its policy direction for 2026, with Governor Olayemi Cardoso declaring that the incoming year will focus on restoring banking stability, modernising the financial system, deepening payment innovation, and strengthening the nation’s economic resilience.
Speaking at the Chartered Institute of Bankers of Nigeria (CIBN) Bankers’ Dinner in Lagos, Cardoso said the Bank’s 2026 blueprint aligns with its mandate to maintain monetary stability and protect the financial system. According to him, the CBN is prioritising rigorous bank supervision, stronger governance, and sustainable credit expansion to safeguard depositors across the country.
Cardoso emphasised that delivering “durable price stability” remains at the centre of monetary policy, noting that the Bank will refine its inflation-targeting framework using advanced analytics to better anchor expectations and steadily reduce inflation.
He added that Nigeria’s payment ecosystem will undergo significant upgrades in 2026. Digital rails will be strengthened, financial inclusion expanded, and contactless payment adoption accelerated. Cardoso disclosed that over 12 million contactless cards are already in circulation, demonstrating rising consumer confidence in digital transactions.
On fintech regulation, Cardoso stated that while innovation will continue to be encouraged, the Bank will enforce stricter licensing conditions, enhance cybersecurity frameworks, strengthen data governance, and create clearer boundaries for digital-asset experimentation. He stressed that consumer protection will remain a top priority.
The governor also revealed that the CBN is building stronger institutional capacity by improving staff skills, streamlining internal processes, and reducing approval bottlenecks. Partnerships with regulators, industry leaders, and international institutions will also be deepened to boost Nigeria’s standing in global financial governance.
Cardoso made a major policy declaration: the CBN will no longer finance government deficits. He described the end of deficit financing as critical to maintaining fiscal and monetary discipline, saying, “There will be no return to the practice of financing fiscal deficits by the Central Bank.”
He noted that fiscal authorities are reinforcing this shift through reforms such as the Revenue Optimisation Framework, the establishment of a National Revenue Agency, and upgrades to the Treasury Single Account.
Cardoso highlighted Nigeria’s strong macroeconomic rebound in 2025. Foreign-capital inflows reached US$20.98 billion in the first 10 months of the year — a 70 percent rise compared with 2024 and a 428 percent jump from 2023. He added that foreign-exchange reserves climbed to US$46.7 billion by mid-November, the highest level in nearly seven years. According to him, the most significant achievement is that reserves are being rebuilt organically — through better market performance, rising non-oil exports, and stronger investment inflows, not borrowing.
Earlier in the year, the Bank extended its Payment System Vision roadmap to 2028 to enhance cybersecurity and accelerate payments modernisation. More than 40 fintech innovators now operate in the CBN’s regulatory sandbox, enabling safe experimentation of digital-finance solutions.
Cardoso affirmed that the CBN will continue to provide forward guidance, safeguard the integrity of financial markets, deploy artificial intelligence to strengthen decision-making, and deepen collaboration with local and global regulators.
He said the Bank’s 2026 priorities are “practical, measurable, and fully aligned” with its mission to protect financial and monetary stability, while ensuring the Nigerian economy becomes more resilient, transparent, and investor-friendly.
