The Governor of the Central Bank of Nigeria (CBN), Dr. Yemi Cardoso, has announced that the apex bank has begun adopting Artificial Intelligence (AI) in its monetary policy framework, particularly in economic forecasting and decision-making processes.
Cardoso disclosed this during a fireside chat at the London Business School, moderated by Professor Hélène Rey, the Lord Bagri Professor of Economics. He highlighted that integrating AI tools into policy formulation marks a significant step toward enhancing the CBN’s data-driven approach to monetary management in an increasingly digital world.
“AI has been adopted in monetary policy, particularly with forecasting,” Cardoso stated, emphasizing the bank’s commitment to leveraging advanced technologies to strengthen economic modeling, inflation targeting, and risk assessment mechanisms.
Speaking further, the CBN Governor addressed questions surrounding cryptocurrency regulation in Nigeria, acknowledging the growing interest of young Nigerians in digital assets. He assured that the CBN recognizes its importance and will soon issue a formal statement clarifying the bank’s updated position on the sector.
On interest rates, Cardoso admitted that current rates remain high but explained that as the economy stabilizes, market forces will lead to gradual adjustments. He noted that the disappearance of arbitrage opportunities in the foreign exchange market would refocus banks’ attention on real sector activities and business generation rather than speculative trading.
Discussing the ongoing bank recapitalization exercise, the CBN Governor reiterated that financial institutions unable to meet the new capital requirements have options — including downgrading their licenses or merging with other banks. He emphasized that the CBN had provided sufficient time for compliance and dismissed any speculation of an extension.
“There is no reason for panic. The process is clear, and the timeline remains as communicated,” Cardoso affirmed.
The session at the London Business School drew global economists, finance students, and investors who discussed the intersection of technology, monetary policy, and financial system resilience.
Cardoso’s remarks underscore Nigeria’s ongoing effort to modernize its monetary operations through innovation and digital intelligence, signaling a new era for the Central Bank’s policy framework amid rapid technological transformation in global finance.
The proposed U.S. tariffs are expected to target key sectors, including electronics, machinery, steel, and consumer goods, potentially impacting global supply chains and increasing costs for American importers and consumers. In addition to tariffs, Washington plans to implement stricter export controls to limit the transfer of advanced technologies and sensitive components to Chinese companies.
