The Nigerian central bank lead representative, Godwin Emefiele, recently commented that the ascent of fintechs and cryptos among different innovations have constrained banks and monetary organisations to impact the manner in which they work.
Emefiele indicated this requires the central bank’s monetary policy committee (MPC) to reconsider the manner in which it regulates the monetary framework.
Godwin Emefiele, said the MPC, which was set to meet on July 18 and 19, should diagram another way that steers Nigeria’s monetary policy.
Talking at a MPC retreat, Emefiele said new innovations and advancements were assuming a significant part in the development of Nigeria, in this way the MPC’s choices should look to upgrade the commitments of these technologies.
New technologies and innovations carry certain risks with them. However, they also bring several benefits that include better access to financial services, poverty reduction, and employment creation.
Godwin Emefiele, stated, “The evolution of fintechs, cryptocurrencies, digital payments, artificial intelligence and machine learning, have changed the functioning of the financial and banking sectors, both globally and domestically.”
Also Read: Nigerian SEC Announces Regulations for Crypto Industry
Furthermore, he commented that the way fintech and cryptos have impacted the manner in which the monetary framework functions, requires a re-examination.
Emefiele commented, “In order to ensure the relevance of monetary policy and the role of monetary authorities in the new digital world, MPC members must embrace themselves with [an] advanced level understanding of the interplay of digitalization with monetary policy objectives, targets and tools.”
In concern of MPC retreat, ‘the bitcoin critic’ talked about how important this event was for the central bank as an opportunity to assess its performance in the last three to four years.
