Cardoso, while presenting a communique from the Central Bank of Nigeria’s 297th Monetary Policy Committee meeting on Tuesday in Abuja, stated that the lifting of refined petroleum products from the Dangote refinery is expected to lower transportation costs, which will help ease food prices.
“The committee expressed optimism that this development will significantly support the alleviation of food price pressures in the short to medium term,” he noted.
He added that the change is also anticipated to reduce foreign exchange demand for imported refined petroleum products, positively impacting external reserves and improving the overall balance of payments.
Cardoso reported that an assessment of Nigeria’s financial institutions indicated stability. He highlighted, “Members assessed key financial soundness indicators and noted with satisfaction that, despite familiar challenges, the banking industry remains safe, sound, and stable.” He emphasized the importance of maintaining supervisory oversight to ensure the industry continues to support the economy.
Regarding food inflation, Cardoso identified several risks, including flooding, energy price hikes, petrol scarcity, and insecurity in farming communities. He acknowledged the Federal Government’s efforts to address insecurity and stressed the importance of remaining committed to these initiatives.
Additionally, the MPC commended the government’s ongoing efforts to bridge the food supply deficit, particularly through the duty-free import window for food commodities.