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 30, 2025

Nigerian Bond Market extends gains as yields fall to 18.38%

Nigeria’s sovereign debt market maintained its upward trajectory last week, with continued investor interest driving…
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 28, 2025

7 genius responses to ‘put rude people in their place,’ according to communication experts

Kathy & Ross Petras Rude people are, sadly, all around us. We deal with them…
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 30, 2025

Bandits strike again in Benue, kill four policemen in fresh attacks

Armed bandits on Sunday launched another deadly assault on Benue State, killing at least four…
June 30, 2025

What to know after Day 1222 of Russia-Ukraine war

WESTERN PERSPECTIVE Ukraine F-16 pilot killed in large-scale Russian attack, Zelenskiy calls for US help…
June 30, 2025

The computer-science bubble is bursting

Rose Horowitch The job of the future might already be past its prime. For years,…
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.