IMF Applauds Nigeria’s Bold Reforms, Endorses Tight Monetary Policy in 2025 Article IV Review

The International Monetary Fund (IMF) has commended Nigeria for its sweeping economic reforms and strides toward macroeconomic stability, following the conclusion of its 2025 Article IV Consultation with the country.

In a statement released from Washington, D.C. on July 2, the IMF Executive Board praised both Nigeria’s monetary and fiscal authorities for implementing “significant and necessary reforms” over the past two years.

These reforms, the Fund noted, have contributed to improving the resilience of Africa’s largest economy amid global uncertainties and domestic challenges.

Key among the IMF’s commendations was the Central Bank of Nigeria’s (CBN) continued commitment to a tight monetary policy stance.

The Fund emphasized that this approach was essential to combat high inflation and restore public confidence in Nigeria’s monetary framework.

“The Central Bank is rightly focused on maintaining a restrictive monetary environment. This should continue until disinflation becomes firmly anchored,” the statement said.

The IMF also acknowledged progress in exchange rate unification, fiscal consolidation efforts, and renewed emphasis on revenue mobilization, calling them critical steps toward long-term economic sustainability.

The Article IV Consultation serves as a key surveillance tool for the IMF, offering policy advice and assessing the overall economic health of its member countries.

While the IMF lauded the reforms, it urged Nigerian authorities to sustain the momentum, especially in strengthening social safety nets and addressing structural barriers to private sector growth.

This endorsement by the IMF is expected to boost investor confidence, support ongoing economic recovery, and shape Nigeria’s strategic engagement with international partners and lenders.