I think for me, that was a low point. The credibility for this institution was eroded. For an institution this important to be subjected to that is b… - Sarah Alade

For Nigeria, like most developing countries, policy has often times focused on the flexible exchange rate regime and financial integration, emphasizing monetary policy independence. However, as globalization, capital flows constraints and other adverse phenomena set in, it has become imperative to seek a convergence.

The challenges are many. Oil price volatility and the unstable global environment are major challenges for Central Banking in Nigeria as they are causing growth challenges and other spill-over effects for the local economy. Central Banking in Nigeria is faced with other enormous challenges such as the size of Nigeria’s informal sector. Globally, developing/emerging economies are characterized by a big informal sector which causes a lot of limitations to Monetary Policy implantation and coverage because a majority of the participants in the sector are not using formal financial services and so cannot be captured formally.

We went for the IMF meetings and when we met with investors, they asked us: ‘what is happening? We understand that there was some financial mismanagement in the CBN.’ It was humiliating.