The warnings were contained in the personal statements of MPC members released by the apex bank. The MPC, at its 304th meeting held on February 23 and 24, 2026, reduced the Monetary Policy Rate by 50 basis points from 27 per cent to 26.5 per cent, while retaining other key monetary parameters.

CBN Governor, Olayemi Cardoso, had earlier warned in the MPC communiqué that election-related fiscal spending could threaten the inflation outlook despite the current moderation in prices.

According to the communiqué signed by Cardoso,

“The outlook indicates that the current momentum of domestic disinflation will continue in the near term. This is premised on the lagged impact of previous monetary policy tightening, sustained stability in the foreign exchange market and improved food supply. However, increased fiscal releases including election-related spending could pose upside risk to the outlook.”

Also, in his personal statement, he noted “Growing fiscal pressures, from reduced government fiscal headroom and the approaching 2027 election cycle, warrant particular attention given the well-established link between pre-election fiscal expansion and inflation.”

Dr Muhammad Abdullahi, CBN deputy governor for Economic Policy, also highlighted election-related spending as a major risk to the inflation outlook.

He said,

“As political activities intensify ahead of the 2027 elections, increased fiscal injections and consumption spending could elevate demand-side inflation.”

Abdullahi added that “the fiscal deficit has already increased significantly, and election-related spending is likely to exacerbate this trend in 2026 and early 2027.”

According to him, stronger fiscal-monetary coordination would be needed to manage the liquidity impact of rising government spending.

Similarly, Emem Usoro, the CBN deputy governor for Operations, warned that the pre-election environment could worsen liquidity conditions and inflation expectations.

Usoro stated,

“Crucially, the pre-election environment increases the risk of liquidity surges, higher FX demand and a drift in inflation expectations.”

She added that the risks justified maintaining tight liquidity conditions despite the moderate rate cut.

According to her, “These considerations support small, cautious adjustments and the retention of strong liquidity and prudential buffers.”

Also raising concerns was the newly appointed Deputy Governor, Lamido Yuguda, who said increased fiscal releases and election spending could disrupt the disinflation trend.

Yuguda, who was a former Director General of the Securities and Exchange Commission, noted,

“The 75 per cent CRR on non-TSA public deposits remains critical, particularly given the potential for increased fiscal releases as implementation of Executive Order 9 advances.”

He further warned that, “Potential increases in fiscal spending associated with the electoral cycle could generate demand pressures and disrupt the disinflation trajectory.”

A member of the MPC, Dr Aloysius Ordu, warned that political spending tied to the elections could put pressure on foreign exchange demand and test the resilience of the economy. He said, “Domestically, rising political spending and FX demand pressures associated with the 2027 elections will test the resilience of the economy.”

Ordu added that although reforms such as Executive Order 9 were expected to improve fiscal transparency and strengthen reserves, high debt servicing costs and political-cycle spending remained major concerns for macroeconomic management.

Another MPC member, Bandele Amoo, also expressed concern over excess liquidity from fiscal injections and early political activities ahead of the elections.

He said,

“My primary concern is the persistence of excess liquidity from fiscal injections, which could undermine disinflation gains and exchange rate stability.”

Amoo further noted that “fiscal spending pressures linked to the 2026 budget cycle, and early political activities ahead of the 2027 elections may heighten risks.”

Another committee member, Professor Murtala Sagagi, said the main domestic risks to inflation included fiscal slippages and election-related spending.

He said,

“Upside risks to the inflation outlook warrant monitoring, particularly increased fiscal releases including election-related spending and any pass-through from global oil price volatility to domestic fuel prices.”

Sagagi added that “the primary domestic risks are fiscal slippage and the possibility of election-related spending which are medium-term in nature.” He urged stronger fiscal discipline and closer coordination between monetary and fiscal authorities.

The next meeting of the Monetary Policy Committee is scheduled to hold on Tuesday, May 19 and Wednesday, May 20, 2026.

This would be about four days after the National Bureau of Statistics is expected to release the country’s Consumer Price Index report for April 2026 on May 15.

Nigeria’s inflation rate rose to 15.38 per cent in March 2026, marking a reversal in the recent easing trend, as increases in food, transport, and accommodation costs pushed prices higher.

It is all about Computer Software! And would ultimately be determined by Software!

The Roles of Software in the implementation of national election is not only critical, but indispensable! Are we currently searching in the dark and kicking the bucket without a torchlight?

The torchlight for navigating the darkrooms of the National electoral processes resides in the Software Ecosystem.

The Software Ecosystem in the Operating System of a general election is equivalent to the blood and oxygen that runs in our Veins and sustains Human Life and civilization.

Therefore, neglecting the fundamental importance of the Software Ecosystem in the operational dynamics of 2027 national General Election, would not only be catastrophic, but indeed may stop the nation from breathing!

The current interrogations on the need to deliver an effective and trusted technology-driven national election revolves around one single functional entity – without which, no electronic election is possible, feasible nor can be effectively delivered!

That single but extraordinary entity is Computer Software! Indeed, this 360-degree analysis on the critical intersections of the current national dialogue on 2027 General Election reveals that, globally, software is and has overtly become the indispensable tool required for navigating, modernizing and streamlining electoral processes.

Software fosters and enhances transparency, builds trust and improves efficiency of national elections around the world.

And perhaps our most critical concern should be: “what type of electoral Software should Nigeria deploy for her general election? And who should/would provide the service? “

Who are the Designers. Producers and Deployers? Is the Software a proprietary and certified solution or Opensource? Above all, does the Software have AI-enabled features and functionalities with embedded capabilities to hijack, recondition and transform internal instructions, processes and manipulate numbers?

Which third parties are involved in monitoring the efficiency, efficacy and security of the Software OS and Applications? Is there a best-practice guarantee?

The above concerns are strategically imperative and informed by the following analytics: They help us and further ventilates how Software plays a crucial role in the implementation of national elections in several ways – inclusive of the followings:

First is the task of delivering Voters Registration, where election management software helps to verify and register voters, update voters’ status and track voters’ eligibility. That is followed by the task of monitoring and governing the Voting Systems through Electronic Voting Machines (EVMs) and Online Voting Systems (where applicable) – both of which rely on software to record, count, and tabulate cast votes.

Going forward, these intersectional analytics lead us to the domain of Election Results Management.

This domain is where Software is used to tally and transmit election results quickly and accurately, depending on the tested and certified abilities of the design functionalities and quality of physical infrastructure.

Next to the above intersections is Election Process Management, where Software is applied to manage various aspects of the electoral processes, including candidate registration, ballot design, and polling station code management – including electronic transmission of election results – delivered automatically.

All the above processes require intersectional checks and balances. And again, the degree and quality of Software requirement to enable content Auditing and Security becomes very significant.

At this intersection, Software is on call and helps to ensure and delivers the integrity and transparency of the electoral process by providing audit trails, secure data storage, and real-time monitoring.

Finally, and perhaps the most critical element is (2027) “Election Results Transmission”: At this stage, (computer) software is at the centre of the functionalities and facilitates the real- time electronic transmission of election results to authorised electoral authorities, who grants access to the public and certified news organizations, where applicable.

The bottom-line is that professional Software Solutions competencies is at the heart of a successful national General Election.

The Call-to-order factor is to interrogate where the transmitted data and information are hoisted – Internationally or Domestically? Where exactly is the INEC Primary Server located? Offshore? OR in country?

Digital fact is that location factor is a sensitive issue with respect to latency in Data transfer from Primary to Secondary Server location.

Beyond 2027, it is time to think without the BOX and start now to prepare how Indigenous Software Application Solutions can deliver a credible and trusted nation General Election come 2031?

*Chris Uwaje is a former president, Institute of Software Practitioners of Nigeria (ISPON).