Governor of the Central Bank of Nigeria, Olayemi Cardoso, has urged developing economies to adopt coordinated reforms in digital cross-border payment systems to foster inclusive growth and strengthen financial stability.
Cardoso spoke at the G-24 Technical Group Meetings (TGM) 2026 held in Abuja on Thursday, where he underscored the importance of efficient payment infrastructure in driving economic participation. He noted that high remittance costs, prolonged settlement timelines, fragmented systems, and heavy compliance obligations continue to restrict households and Micro, Small and Medium Enterprises (MSMEs) from fully engaging in global commerce.
According to the CBN governor, average global remittance costs remain above six per cent, while transaction settlements often take several days, limiting access to modern financial systems for millions of people.
While acknowledging the opportunities presented by digital payments, Cardoso warned of potential risks, including currency substitution, weakened monetary policy transmission, increased foreign exchange volatility, capital flow pressures, and regulatory fragmentation across jurisdictions.
Outlining Nigeria’s reform efforts, he said the apex bank has strengthened its Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) framework in line with standards set by the Financial Action Task Force. He added that the CBN now enforces strict dual-screening procedures for cross-border transactions to curb illicit financial flows.
Cardoso further disclosed that simplified KYC/AML requirements have been introduced for low-value cross-border transactions to widen participation in the Pan-African Payment and Settlement System (PAPSS), thereby facilitating faster and more seamless intra-African trade payments for Nigerian SMEs. He also highlighted the CBN’s Regulatory Sandbox initiative, which enables fintech firms to test innovative and secure cross-border payment solutions under regulatory oversight.
He reaffirmed Nigeria’s readiness to collaborate with G-24 member states, the International Monetary Fund, and the World Bank Group in building a resilient and development-focused global financial system.
The 2026 G-24 TGM, themed “Mobilising finance for sustainable, inclusive, and job-rich transformation,” brought together key financial stakeholders to explore strategies for modernising financial systems across emerging and developing economies.
