Aganga Tasks D-8 Central Banks To Deepen Their Partnerships

ABUJA, July 06, (THEWILL) - Finance Minister Olusegun Aganga has tasked Central Banks of Developing Eight (D-8) nations to deepen their partnerships as part of efforts towards rejuvenating the economies of member countries to allow for growth and development.

Speaking at the meeting of D-8 Central Bank Governors in Abuja today, Aganga said member-countries can only improve their various economies if they adequately address issues of strong governance structures, trade facilitation, rising unemployment, erosion of foreign exchange reserves, commodity price shocks and downturns in growth rates.

"There are many areas we can share experiences. One is to look at the area of strong governance and trade facilitation. You need a very strong bank to make a difference in the economy. Every central bank has a vital role in not just driving the monetary policy as an essential element of general macroeconomic management, but in social and economic obligation to the country," he said.

He said their complimentary role to the fiscal authorities was most important to shape the economic realities, adding that the central banks effectively manage the interest rates and inflation that represent the two important factors capable of influencing positively macro-economic policies.

Central Bank of Nigeria (CBN) Governor, Dr Sanusi Lamido Sanusi in his address at the occasion said problems emanating from the global economic recession provide genuine avenue for D-8 members to work together and eliminate distortions.

Highlighting finance and banking cooperation as a major programme in the road map of D-8 countries for economic and social cooperation, Dr. Sanusi said areas already mapped out under the finance cooperation include strengthening financial surveillance mechanisms, enhancing the domestic financial system and exchange of experiences among member nations on modalities for Islamic finance.

Sanusi noted that Nigeria was taking advantage of the meeting to study from the experiences in such important areas as non-interest banking and micro-finance.