Nigerians Paying for N37.5tn Excess Money Supply Into Economy – Cardoso

The Governor of the Central Bank of Nigeria, Dr. Olayemi Cardoso, has said that Nigerians are currently experiencing the repercussions of an excessive supply of money into the economy.

He pointed to the N27 trillion Ways and Means loan and the N10.5 trillion interventions from previous administrations. 

Speaking at the BusinessDay CEO Forum in Lagos, he emphasized that the interest rate is determined by the monetary policy committee, which is committed to addressing inflation based on data. 

Cardoso highlighted the significant increase in money supply, particularly the N27 trillion Ways and Means and N10.5 trillion interventions as a major factor contributing to the current challenges. 

Ways and Means refers to the funds lent by the Central Bank of Nigeria to the Federal Government to supplement spending until revenue is generated. 

This is not the first time that Governor Cardoso has expressed concerns about the impact of Ways and Means and intervention funds. 

He also pointed out that the recent interventions exceeded N10 trillion, emphasizing the substantial damage caused. 

The governor had previously announced a suspension of the intervention programme following those concerns.