Debt Management: CBN Calls for Transparency, Training for Professionals
The Central Bank of Nigeria (CBN) has emphasised the importance of transparency in debt management and borrowing activities to build trust with investors, creditors, and the public.
The CBN Governor, Olayemi Cardoso, made the call in Abuja, stating that routine disclosure of debt information is essential for building trust.
Cardoso also highlighted the need for investment in human capital and capacity development.
He noted that debt management professionals require continuous training, mentorship, and technical assistance to excel.
Effective debt management, according to him, is a strategic necessity in today’s world. It allows governments to finance critical investments without burdening future generations.
The event, co-organised by the World Bank, IMF, and WAIFEM, aimed to strengthen national capacities for debt management and promote the development of robust Debt Management Strategies and Annual Borrowing Plans.
Cardoso, represented by Ms. Ladi Raulatu Bala-Keffi, Acting Director at the CBN, noted the importance of investing in human capital and capacity development.
His words: “We must continuously provide our debt management professionals with the necessary training, mentorship, and technical assistance. Moreover, routine disclosure of our debt portfolios and borrowing activities is vital.
“Strengthening national capacities for debt management is crucial. It allows us to meet the government’s funding needs in a cost-effective and risk-conscious manner, both now and in the future. Countries must prioritise building a balanced and resilient debt portfolio.
“At the core of sound public debt management is the Debt Management Strategy (DMS) – a formal plan devised by the government to achieve its debt management objectives.
The apex bank Govrrnor stated that formulating robust DMS and Annual Borrowing Plans (ABP) is critical.
According to him, this process requires a comprehensive approach involving a well-coordinated institutional framework for public debt management and a stable macroeconomic environment.
He explained that effective debt management is not just a technical exercise but a strategic necessity. It ensures governments can finance critical investments in infrastructure, education, healthcare, and other essential services without jeopardising the well-being of future generations.
Speaking at the event, Dr. Baba Yusuf Musa, Director-General of WAIFEM, highlighted the Board of Governors’ commitment to excellence through Mr. Cardoso’s presence.
Represented by Mr. Yakubu Aliyu, Dr. Musa said, “This training course marks a significant achievement for WAIFEM, given the vital role of Annual Borrowing Plan development in financial management.”
