Nigeria’s economic progress must translate into lower living costs, more jobs, higher incomes and improved living standards for citizens, the Chartered Institute of Bankers of Nigeria (CIBN) has said.
CIBN Says Economic Gains Must Reach Households
CIBN President and Chairman of Council, Dele Alabi, made the call at the institute’s 19th Annual Banking and Finance Conference in Abuja.
Alabi said improvements in the country’s macroeconomic indicators would mean little if households and businesses continued to struggle with high costs and limited access to opportunities.
He said the success of Nigeria’s economic reforms should ultimately be measured by their impact on ordinary citizens, small businesses and households.
Institute Calls for Support for MSMEs
According to Alabi, the next phase of economic reforms should focus on ensuring that the benefits of economic stability reach businesses and households.
He highlighted the challenges facing micro, small and medium enterprises, including high operating costs, inadequate infrastructure, limited market access, low productivity, skills shortages and slow digital adoption.
He said CIBN’s advocacy for scalable SME hubs across the country was aimed at addressing some of these challenges.
World Bank Urges Banks to Fund Job-Creating Sectors
The World Bank also called for increased private-sector lending, particularly to industries capable of generating employment.
Bertine Kamphuis, Lead Private Sector Development Specialist at the World Bank’s Nigeria office, said access to credit remained inadequate.
Represented at the conference by Division Director for Nigeria, Mathew Verghis, she urged banks to increase financing for agriculture, manufacturing and MSMEs.
She noted that between three and four million young Nigerians enter the labour market annually, making access to productive financing increasingly important.
Tinubu Tasks Banks on Real-Sector Financing
President Bola Tinubu, represented by Finance Minister Taiwo Oyedele, urged banks to rethink their approach to risk and increase financing for productive sectors.
Tinubu said strong profits and growing bank balance sheets were not enough if businesses could not access affordable credit and productive MSMEs remained outside the formal financial system.
He said Nigeria’s economic stability should lead to increased investment, production, job creation and improved living standards.
The President also said the ongoing bank recapitalisation should result in greater financing for businesses and the wider real economy.
CBN Pushes for More Lending to Real Economy
Central Bank of Nigeria Governor Olayemi Cardoso also called on banks to use the capital raised through the recapitalisation exercise to support the real sectors of the economy.
Represented by Deputy Governor Philip Ikeazor, Cardoso said increased financing could help drive economic growth and improve living conditions.
He also urged state governments to work with federal fiscal and monetary authorities to bring down inflation, saying single-digit inflation was achievable through stronger cooperation among stakeholders.
