Nigeria’s economic reforms shield economy from global shocks- Cardoso

By: Amarachi Okonkwo

The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has said that Nigeria’s ongoing macroeconomic reforms have significantly strengthened the country’s ability to withstand potential shocks from rising geopolitical tensions in the Middle East.

Cardoso made this known on Thursday while delivering a Distinguished Alumni Lecture at the Founders’ Day celebration of St Gregory’s College Lagos in Lagos.

According to the CBN governor, the global economic environment is currently facing renewed uncertainty driven by escalating geopolitical tensions, particularly the evolving crisis involving the United States, Israel and Iran.

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He warned that the situation could trigger higher global energy prices, disrupt supply chains and increase risk aversion among international investors, developments that could have implications for emerging economies.

However, Cardoso expressed confidence that Nigeria is better positioned to navigate such external shocks due to the macroeconomic reforms implemented over the past two years.

“Today, the global economy is facing renewed shocks, including continued geopolitical tensions and developments in the US–Israel–Iran conflict. These events have the potential to push energy prices higher, disrupt supply chains and increase risk aversion among global investors,” Cardoso said.

“But the macroeconomic reforms and policy buffers we have built over the past two years have placed Nigeria in a far stronger position to navigate these challenges. The storms may come, but our house will stand firm.”

FX Market Reforms Improve Liquidity

The apex bank governor also highlighted improvements in Nigeria’s foreign exchange market, noting that reforms introduced by the Central Bank have enhanced market liquidity and efficiency.

According to him, deliberate policy actions taken by the CBN have removed distortions that previously characterised the FX market, while restoring investor confidence.

“Today, the foreign exchange market operates with far greater liquidity and efficiency, while the backlog of unmet demand has been cleared. Market participants are now able to transact without relying on extraordinary Central Bank interventions,” he stated.

Cardoso further disclosed that Nigeria has begun to experience improved capital inflows as investor sentiment gradually strengthens following recent policy adjustments.

External Reserves Hit Decade High

He added that Nigeria’s external reserves have risen significantly, recently exceeding $50 billion, the highest level recorded in more than a decade.

According to him, the improvement reflects stronger balance-of-payments performance, supported by increased foreign investment and enhanced policy credibility.

Call for Digital Skills Development

Addressing students at the event, Cardoso urged young Nigerians to develop skills relevant to the emerging digital and technology-driven global economy.

He noted that the careers of the future will increasingly favour individuals with multidisciplinary skills and the capacity to adapt to rapidly evolving technological environments.

Cardoso advised students to cultivate curiosity, discipline, integrity and adaptability, describing these qualities as essential foundations for leadership and long-term success in an increasingly complex global economy.

Nigeria loses 50% of food produced in Lagos– Stakeholders push for large-scale farming

By: Amarachi Okonkwo

Nigeria may be losing as much as 50 per cent of the food produced in Lagos before it reaches consumers, a situation stakeholders say underscores the urgent need for large-scale commercial farming and improved supply chains to address the country’s deepening food security concerns.

The disclosure was made in Lagos during the unveiling of a corporate farming initiative designed to strengthen agricultural production, reduce post-harvest losses and improve food distribution across Nigeria.

Participants at the event, drawn from government, agribusiness, banking and farming communities, said Nigeria must move away from its fragmented smallholder farming system and embrace coordinated commercial farming models capable of improving productivity and ensuring stable food supply.

At the gathering, Origin Tech Group introduced its Corporate Farm Model, a platform aimed at supporting large-scale farming through structured financing, professional farm management and guaranteed market access for agricultural produce.

Executive Chairman of the company, Prince Samuel, said inefficiencies across Nigeria’s agricultural supply chain are responsible for massive food losses.

According to him, a significant proportion of food produced never gets to consumers due to poor logistics, inadequate storage infrastructure and weak distribution networks.

“About 50 per cent of the food produced in Lagos never gets to consumers due to inefficiencies in the supply chain,” Samuel said.
He explained that the corporate farming model was developed to address long-standing risks that have discouraged investors from participating in agriculture.

Samuel noted that many financial institutions previously suffered losses after financing agricultural projects that lacked technical expertise, structured management and guaranteed off-take markets.

Under the initiative, investors will be provided with farmland, professional farm management services, financing support and guaranteed off-take arrangements for agricultural produce.

He disclosed that each farm under the model will operate on a minimum of 1,000 hectares, with investors contributing between 20 and 30 per cent equity, while the remaining funding will be sourced from financial institutions and Origin Tech.

The programme will also provide farmers with technical support for two farming cycles and advisory services for up to five cycles to ensure sustainability and productivity.

Chief Operating Officer of Origin Automobile Works, Leo Edwards, highlighted Nigeria’s low level of agricultural mechanisation as a major constraint to productivity.

Citing data from the Food and Agriculture Organization (FAO), he noted that the global benchmark for mechanised farming stands at 1.5 horsepower per hectare, while Nigeria currently operates at just 0.0027 horsepower per hectare, indicating a significant technology gap.

Also speaking at the event, the Lagos State Commissioner for Agriculture and Food Systems, Abisola Olusanya, said Nigeria’s agricultural framework must evolve to tackle persistent food losses and supply shortages.

Olusanya stressed that improving agricultural infrastructure, mechanisation and coordinated production systems would be critical to strengthening food security and reducing the country’s dependence on food imports.

Stakeholders at the event agreed that adopting commercial farming models backed by technology, financing and market guarantees could significantly reduce food losses, attract private investment and improve Nigeria’s agricultural productivity.