CBN Under Cardoso: Recapitalised Banks, a New FX Manual and $50bn in Reserves
By Aboki Forex —
The Central Bank of Nigeria has pushed through a broad set of reforms across banking, foreign exchange, payments and cybersecurity since September 2023, with Governor Cardoso framing the period as an exercise in rebuilding and restructuring the financial system. Concerns about the transparency and effectiveness of some areas of the financial system had weakened confidence, and the reforms were designed to address that.
The results now stretch from the bank branch to the PoS terminal, and from the foreign exchange market to the nation's reserves, which have crossed the $50 billion mark.
Rebuilding the banks from the inside
Bank recapitalisation has been the centrepiece on the banking side. For experts, the significance goes beyond the amount of money raised. A bank with a stronger capital base has a bigger cushion against unexpected losses. It is also better placed to finance major projects and businesses without putting its own survival at risk.
In February 2026, the CBN approved the Bank of Industry's Non-Interest Banking Window, widening the range of banking options available to customers and businesses.
Fixing the foreign exchange market
On May 15, 2026, the apex bank launched the fourth edition of its Foreign Exchange Manual. Licensed BDCs were given structured access to foreign exchange through authorised dealer banks, while the FX BDC Purchase Tracker was introduced to improve monitoring and compliance.
On March 25, 2026, International Oil Companies were permitted to repatriate 100 per cent of their export proceeds through authorised dealer banks. A day earlier, on March 24, 2026, new naira-settlement requirements were introduced for International Money Transfer Operators.
Safer digital payments
The payments push rests on pillars including interoperability, security, financial inclusion, innovation, trust and collaboration. Agent banking has also received tighter regulation.
From July 1, 2026, customers received greater control over instant-payment preferences and transaction limits, alongside stronger device authentication, identity verification and real-time fraud monitoring.
On March 12, 2026, the apex bank strengthened the Bank Verification Number and watchlist framework. On March 30, it deployed a Cybersecurity Self-Assessment Tool to enable regulated institutions to examine their own cyber-defences and identify weaknesses. New cash-withdrawal thresholds were introduced, while restrictions and charges on cash deposits were removed.
Reserves cross $50 billion
Foreign reserves are important because they give the country foreign currency to meet international obligations and support confidence in the economy. Locally sourced gold, refined to international London Bullion Market Association Good Delivery standards, was added to Nigeria's reserve assets.
Bank recapitalisation has sought to make lenders stronger. Foreign exchange reforms have focused on transparency and market structure. Payments reforms have targeted security and inclusion. Cybersecurity measures have responded to the rise of digital fraud, while changes in financial-market operations are designed to improve monetary-policy transmission.
Still, the achievements should be viewed alongside the realities faced by Nigerians and businesses. As the CBN moves deeper into the next phase, the emphasis is likely to shift from putting new rules in place to ensuring that those rules work effectively across the banking and financial system.
For the naira and Nigerian businesses, the FX manual, the 100 per cent export proceeds repatriation rule for IOCs and the tracker on BDC purchases are the items to watch. They shape how much foreign exchange reaches the market and how transparently it moves.