Nigeria on Track to Hit $1 Trillion Economy by 2030 – CBN Governor.

In a bold declaration, Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, has assured that the nation’s economy is poised to reach a staggering $1 trillion by 2030. This promising projection was made during his presentation to the Senate Committee on Banking, Insurance, and Other Financial Institutions, where he reviewed the Bank’s activities in the first half of 2024.

Cardoso emphasized the CBN’s unwavering commitment to implementing policies that drive sustainable growth in the financial markets and ensure overall economic stability. Since taking office in October 2023, the Bank’s management has focused on stabilizing the economy, restoring confidence in financial markets, and laying the groundwork for sustainable growth.

The CBN Governor highlighted several key indicators of the growing economy, including:

– A 2.98% growth rate in the first quarter of 2024, up from 2.31% in the same period last year
– The Services sector’s significant contribution to GDP, accounting for 58.04% with a growth rate of 4.32%
– Improvement in the Industrial sector, achieving a growth rate of 2.19%
– Notable increase in external reserves, largely attributed to crude oil-related taxes and third-party payments

Cardoso also acknowledged the ongoing challenges of inflationary pressures but noted the effectiveness of the Bank’s anti-inflationary measures. He emphasized the significant narrowing of the spread between official and BDC rates and the success of re-capitalization efforts in the banking sector.

The CBN Governor outlined key policy measures implemented to tackle domestic macroeconomic challenges, including raising the policy rate to 26.25%, increasing Cash Reserve Ratios, normalizing Open Market Operations, and adopting Inflation Targeting as a new monetary policy framework.

Senator Adetokunbo Abiru, Chairman of the Committee, praised the CBN Governor and his team for their efforts to stabilize the economy since taking office.