Former Deputy Governor of the Central Bank of Nigeria (CBN), Kingsley Moghalu, has voiced his concerns over the CBN’s direct involvement in funding Small and Medium Enterprises (SMEs) and Micro, Small and Medium Enterprises (MSMEs). In a statement shared on Saturday via his official X handle, Moghalu argued that such funding should be routed through microfinance banks instead.
Moghalu, a seasoned economist and former presidential candidate, also criticized Africa’s emphasis on Gross Domestic Product (GDP) growth, describing it as a “misguided worship.” He proposed a more comprehensive development strategy for Africa, outlining five key pillars crucial for the continent’s advancement.
He emphasized the importance of developing an African-centric mindset, improving education and skills for productivity, ensuring reliable electricity infrastructure, and transforming scientific innovations into marketable products through mass production. Moghalu further stressed that access to affordable capital for SMEs and MSMEs should be facilitated through microfinance institutions, rather than direct intervention by central banks.
