The Central Bank of Nigeria (CBN) has reiterated its commitment to sustainability goals during the 2023 Nigeria Sustainability Summit held at the Access Towers, Oniru, Victoria Island, Lagos. The theme of the summit was “Crisis-Resilient and New Nigerian Economy.”
Speaking as a panellist at the summit, the Special Guest of Honour, CBN Governor Dr. Yemi Cardoso, represented by the Director of Financial Policy and Regulation, Haruna Mustapha, emphasised that sustainability issues are a strategic imperative for the central bank. Mustapha highlighted the CBN’s involvement in sustainability efforts, including leading the charge on sustainable banking principles since 2012.
Mustapha discussed the CBN’s efforts to incorporate climate-related considerations into its sustainable banking principles. He emphasised the importance of global efforts towards cleaner energy and net-zero commitments for a better future.
Responding to questions about the possibility of directing banks to increase their capital, Mustapha referenced the CBN’s historical move in 2005, when the then CBN Governor, Charles Soludo, increased the minimum paid-up capital for banks from 2 billion to 25 billion. He explained that this proactive measure strengthened Nigerian banks, helping them weather the global financial crisis.
Mustapha noted that increasing banks’ capital base is essential for absorbing unexpected losses and supporting the government’s aspirations to build a 1 trillion-dollar economy rooted in sustainable principles. He mentioned recent policies, such as the removal of fuel subsidies and FX implications, that impact banks and emphasised the need to reevaluate the existing capital regime in the face of evolving risks and economic goals.
The Nigeria Sustainability Summit 2023, hosted by Access Holdings PLC in collaboration with the European Organisation for Sustainable Development, aimed to initiate a shift towards high-value, socially inclusive, green, and climate-friendly economic development in Nigeria through a sustainability-driven corporate sector. Financial Nigeria International Limited served as the organising partner for the summit.
