Investor Presentaiton

Broad-based Monetary Policy Measures Bolstering Economic Recovery Monetary Policy • Monetary Policy Rate (MPR) kept steady at 14%, cash reserves requirement (CRR) and liquidity ratio (LR) retained at 22.5% and 30%, respectively • Given Nigeria's strong trade relationship with China, in April 2018 the CBN signed a $2.5 Bilateral Currency Swap Agreement (BCSA) with the People's Bank of China (PBOC) to promote trade between the two countries Achieving stable and sustainable non-inflationary growth remains one of the primary objectives. Inflation moderated to 11.23% in August 2018 Developments in the Foreign Exchange Market • Measures taken to boost market liquidity and ease demand pressure; Introduction of the Investors and Exporters (I&E) FX Window, which has increased market transparency and helped in stabilizing the NGN/USD exchange rate • Transactions at the I&E window stood at close to $22bn in 2017, with the increased inflow of USD helping to narrow the gap between the official and parallel NGN rates Financial Sector Reforms Implemented various initiatives to sustain the safety, soundness and stability of banking institutions • Introduced the Real Sector Support Facility (RSSF) to consolidate and sustain the nation's economy Adoption of IFRS 9 by Nigerian banks effective 1 January 2018 . External Reserves Management • Rebuilt foreign exchange reserves stand at US$44.9 billion as of 20 Sept 2018, an increase of US$11.7 billion or 35.4% y-o-y • This development, largely due, to increase in oil-related revenues, TSA and third party receipts, security lending cash collateral, and Eurobond proceeds 21 Monetary and Banking Updates

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