Introduction to a United Africa
It is often said that “if you want to go fast, go alone, but if you want to go far, go together.” This African proverb has found new relevance in the efforts of the Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, to foster stronger collaboration among African central banks. His recent engagements with counterparts from Egypt and Malawi reflect a deliberate shift toward a more united monetary and economic future for the continent.
The Beginning of a New Era
On Thursday, June 26, 2025, Mr. Cardoso hosted Mr. Hassan Abdalla, the Governor of the Central Bank of Egypt, at the CBN Headquarters in Abuja. The meeting was followed the next day by the visit of Dr. MacDonald Mwale, Governor of the Central Bank of Malawi. These high-level discussions focused on bilateral central banking cooperation, monetary policy coordination, and the joint pursuit of institutional development, marking a turning point in how Nigeria sees its role within Africa’s financial ecosystem.
The Significance of Collaboration
The significance of these engagements is profound. For too long, African central banks have operated in silos, often guided by national objectives without deep consideration for regional synchronization. In an era where economies are more interconnected than ever, particularly under frameworks such as the African Continental Free Trade Area (AfCFTA), such collaborations are not only desirable but necessary. Coordinated monetary policies can help mitigate the negative spillover effects of global shocks, stabilize currencies, and ensure that financial regulations evolve in tandem across borders, thus reducing systemic vulnerabilities.
Strategic Advantages for Nigeria
These collaborations offer several strategic advantages for Nigeria. Firstly, they enable the CBN to position itself as a leading voice on the continent, especially at a time when its macroeconomic fundamentals are showing cautious signs of recovery. The latest balance of payments report for Q1 2025 revealed a current account surplus of $3.73 billion, driven primarily by a significant rise in non-oil exports and a decline in imports.
Economic Recovery and Growth
Crude oil exports stood at $8.59 billion, while non-oil and electricity exports rose to $2.66 billion, bolstered by a 30.39 percent increase in non-oil exports. On the other hand, non-oil imports declined from $7.37 billion to $6.77 billion, indicating a shift toward domestic consumption and import substitution. Total exports climbed to $13.91 billion, representing a 9.79 percent increase, while imports fell to $9.75 billion, down from $10.05 billion. These figures illustrate a narrowing trade gap and the gradual rebalancing of Nigeria’s external sector.
A Call for Unity and Resilience
However, these domestic gains must be seen in a broader African context. Without regional alignment, Nigeria risks being an outlier in a fragmented system vulnerable to inconsistent regulations, unstable cross-border capital flows, and duplicative financial infrastructures. By collaborating with Egypt and Malawi, Nigeria is helping to lay the groundwork for a more integrated continental financial architecture. Such efforts could eventually lead to a harmonized African payment system, standardized regulatory norms, and even discussions around regional currency stability mechanisms.
The Future of African Economies
These engagements also come at a time when foreign aid and grants to African countries are shrinking. The CBN noted a 17.86 percent drop in secondary income flows in Q1 2025, linked to a recent executive order by the United States President. This underscores the urgency for African countries to look inward and to one another for solutions. Intra-African cooperation, particularly among central banks, presents a pathway to resilience in the face of reduced external support.
Building a Continental Monetary Alliance
Governor Cardoso’s broader message is equally compelling. In calling on African leaders to commit to building “the resilient institutions our people need, our economies require, and our continent deserves,” he is articulating a vision that transcends national interest. It is a call for institutional rebirth, a recognition that true economic sovereignty for Africa will not come through isolated reforms, but through united efforts that reinforce shared values and amplify collective strength.
Conclusion
Ultimately, when Cardoso brings heads of African apex banks together, he is not merely hosting diplomatic meetings, he is building the scaffolding for a continental monetary alliance. It is a bold, forward-looking strategy that places Nigeria at the heart of Africa’s financial future and redefines what it means to be a Central Bank in the 21st century. This vision of a united and economically resilient Africa is one that resonates deeply, a reminder that together, Africa can indeed go far.
