CBN Urged to Explore $20bn BIS Shareholding Potential

Abdulrazaq Hamzat, the Executive Director of the Foundation for Peace Professionals (PeacePro), has called on the Central Bank of Nigeria (CBN) to consider acquiring shareholding in the Bank for International Settlements (BIS). He stated that this move could generate up to $20 billion in cumulative economic value over the next decade.

Hamzat clarified that the BIS would not directly provide Nigeria with $20 billion; rather, this figure represents the potential economic value from better management of Nigeria's reserves, foreign exchange, and monetary policy. He emphasized that the real benefit lies in institutional integration with leading central banks, which could enhance Nigeria's financial stability.

Hamzat pointed out that even minor improvements in reserve management could yield significant savings. He cautioned against excessive risk-taking, advocating for traditional reserve management priorities of safety, liquidity, and return.

Hamzat also noted that foreign exchange management is another area where Nigeria could gain from deeper engagement with the BIS.