Expert urges CBN to explore $20 billion economic value from Bank for International Settlements shareholding
Abdulrazaq Hamzat, Executive Director of the Foundation for Peace Professionals PeacePro, has called on the Central Bank of Nigeria CBN to investigate Nigeria's potential acquisition of shareholding in the Bank for International Settlements BIS. PeacePro suggests this move could generate up to $20 billion in cumulative economic value over a decade, not as direct payment from the BIS, but through improved management of Nigeria's reserves, foreign exchange, monetary policy, and financial stability, along with greater institutional influence. Hamzat emphasized that the primary benefit is institutional, allowing for deeper integration into the global network of central banks, which could lead to significant economic gains through better reserve management, foreign exchange management, and strengthened financial sector resilience. He highlighted that even marginal improvements in risk-adjusted returns and liquidity management for Nigeria's external reserves could be worth hundreds of millions of dollars. Hamzat also noted the BIS's role in global financial standard-setting and its work on the future of cross-border payments. He proposed a CBN-led Nigeria-BIS Strategic Assessment Team to evaluate the costs and potential gains, stressing that the $20 billion estimate requires rigorous independent economic modeling. Furthermore, Hamzat pointed out that no West African central bank is currently a BIS shareholder, and Nigerian membership could strengthen West African representation in
