Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), has revealed that the Federal Government is exploring the possibility of issuing a diaspora bond in the United States in 2025. This move is part of a broader strategy to tap into the growing interest of Nigerians abroad in investing back home, particularly after significant reforms were introduced by the current administration in 2023.
Speaking during an interview with Reuters at the International Monetary Fund (IMF) and World Bank meetings in Washington, DC, Cardoso highlighted the rising remittance inflows, which have surged from $250 million per month in early this year to $600 million in September. He expressed optimism that Nigeria could reach $1 billion in monthly remittances by next year.
Cardoso emphasized the eagerness of the Nigerian diaspora to invest not just financially but also in the country’s assets and businesses. He pointed out that Nigeria’s currency, the naira, is now highly competitive and cheap, so they see the opportunities for investment in the domestic market.
“We are witnessing increased confidence in Nigeria’s economy,” Cardoso said. He noted that reforms aimed at restoring investor trust are starting to bear fruits, adding that the weakened naira could play a pivotal role in the government’s long-term goal of diversifying the economy away from its heavy reliance on oil.
As for inflation and interest rates, the CBN governor pledged to take a data-driven approach, ensuring that economic indicators guide policy decisions, while also stressing the importance of policy stability, stating that consistency would encourage long-term foreign investments, although he acknowledged that investors are still cautiously evaluating the system.
Reflecting on his interactions with investors and the Nigerians in the diaspora during the IMF and World Bank meetings, Cardoso said there was a growing sense of validation for Nigeria’s economic trajectory, with the reforms laying the groundwork for sustained growth.
