Tuesday, 06 May 2025 04:38

CBN's alarming cost explosion: Personnel expenses skyrocket in questionable financial report

Rate this item
(0 votes)

The Central Bank of Nigeria (CBN) has revealed a disturbing surge in personnel costs, with expenses ballooning by a staggering 104% compared to 2023, according to the bank's recently released audited financial report.

In a concerning development for Nigerian taxpayers, the bank burned through an astronomical N595.9 billion on personnel expenses—more than double the N291 billion spent the previous year. At the group level, this personnel cost explosion was even more pronounced, jumping from N295.4 billion to a massive N608.5 billion.

The financial report exposes an equally troubling increase in total operating costs, which soared by 78% to reach N1.2 trillion, up from N673.4 trillion in 2023. Personnel costs alone devoured nearly half (49.7%) of the bank's entire operating budget, raising serious questions about fiscal responsibility and management priorities.

Despite claims of a "bullish performance," the CBN's deepening relationship with the International Monetary Fund raises red flags about Nigeria's growing financial dependence on external institutions. The bank's debt to the IMF has doubled to a concerning N5.07 trillion, while IMF's allocation of special drawing rights ballooned to N8.07 trillion.

More worrying still is the 37% increase in deposits, climbing from N38.23 trillion to N52.4 trillion—a jump that financial experts warn could severely crowd out private sector activity and stifle economic growth.

The CBN's attempts to paint a rosy picture by highlighting "improvements" in external reserves and cost efficiency ring hollow against the backdrop of these runaway expenses. While the bank touts its "strategic financial management," the numbers tell a different story—one of unchecked spending and questionable priorities during a period of economic hardship for ordinary Nigerians.

Even as the bank celebrates its exit from last year's N1.27 trillion loss to a surplus of N165.7 trillion, taxpayers are left wondering: at what cost? With personnel expenses more than doubling and operating costs spiraling upward, the CBN's financial management appears anything but "strategic" or "efficient."​​​​​​​​​​​​​​​​

June 26, 2025

How to ace a job interview in 90 seconds, from an Ivy League communication expert

Sophie Caldwell You only have about 90 seconds to make a strong first impression in…
June 26, 2025

Peter Obi decries ‘coordinated lawlessness’ after brother’s property is demolished in Lagos without court order

Former presidential candidate Peter Obi has condemned what he described as a brazen act of…
June 27, 2025

Which drink is best for hydration? Hint: It isn’t water

Lisa Drayer When you’re thirsty and in need of a drink, which beverages are best…
June 21, 2025

Man convicted of posing as flight attendant to fly for free 120 times

A 35-year-old American man has been found guilty of impersonating a flight attendant at least…
June 26, 2025

17 soldiers killed, dozens injured in fierce gun battles with terrorists in Niger, Kaduna

Seventeen soldiers have been confirmed dead and at least ten others injured following coordinated attacks…
June 27, 2025

What to know after Day 1219 of Russia-Ukraine war

WESTERN PERSPECTIVE Russia captures village in eastern Ukraine near lithium deposit, Russian-backed official says Russian…
June 25, 2025

Tesla robotaxi launch: Why getting from dozens to millions of self-driving cars won't be easy

Tesla (TSLA.O) finally has a robotaxi. Now comes the hard part. The electric-vehicle maker deployed…
May 13, 2025

Nigeria's Flying Eagles qualify for World Cup after dramatic win over Senegal

Nigeria's U-20 national football team, the Flying Eagles, have secured their place at the 2025…

NEWSSCROLL TEAM: 'Sina Kawonise: Publisher/Editor-in-Chief; Afolabi Ajibola: IT Manager;
Contact Us: [email protected] Tel/WhatsApp: +234 811 395 4049

Copyright © 2015 - 2025 NewsScroll. All rights reserved.