CBN Hails AU Approval of Nigeria’s AMI Board Membership

By Oluwakemi Kindness

Governor of the Central Bank of Nigeria, Olayemi Cardoso, has welcomed the African Union’s decision granting Nigeria permanent membership of the Board of the African Monetary Institute (AMI), describing it as a milestone for Africa’s financial integration.

The approval was reached at the 39th Ordinary Session of the Assembly of the African Union, ahead of plans to establish an African Central Bank to be headquartered in Abuja.

While the development signals Nigeria’s leadership role in Africa’s proposed single-currency framework, economists say the key question is how the move will translate into real benefits for Nigerians facing inflation, currency instability and rising cost of living.

Cardoso said hosting the AMI and future African Central Bank will position Nigeria at the centre of Africa’s emerging monetary union and deepen monetary cooperation across the continent.

He added that the decision also confirms Nigeria’s membership of the Convergence Council, aimed at strengthening macroeconomic coordination.

However, analysts note that Nigeria must first stabilise its domestic economy before fully benefiting from continental monetary integration. Persistent inflation, exchange-rate volatility and weak industrial productivity remain major hurdles.

There are also concerns about whether Nigeria’s fiscal discipline, debt profile and revenue base meet convergence standards required for a future African single currency.

Cardoso acknowledged that reforms in reserve management, banking supervision and payment systems are ongoing, saying the bank is working with African partners to build a strong foundation for the proposed African Central Bank.

He noted that Nigeria’s permanent seat applies only during the AMI’s transition period and will lapse once the African Central Bank is formally established, in line with AU principles of rotation and regional balance.

For many observers, the bigger issue is accountability. They say Nigerians expect clearer timelines, measurable economic gains and transparency on the cost of hosting continental institutions.

They argued that while Nigeria’s leadership in Africa is important, domestic economic stability, job creation and poverty reduction must remain the top priorities.