Reforms, especially in Nigeria’s economic sector had always been an integral aspect of Nigeria’s political economy since independence in 1960. From time to time, the way and manner in which the business of the State is conducted as well as the benefits accruing to citizens in the process have had to undergo reviews depending on the exigencies of the time. At several occasions, some of the reform policies implemented included the deregulation of interest rates, exchange rate and entry into banking business. Other measures implemented included, the establishment of the Nigeria Deposit Insurance Corporation, strengthening of the regulatory and supervisory institutions, an upward review of capital adequacy standards, capital market deregulation and introduction of indirect monetary policy instruments. Nevertheless, a peculiar feature of past reform programs in Nigeria is the associated International Monetary Fund /World Bank external influence and directive, inconsistency in policy implementation and corruption. The thrust of this paper therefore is to illuminate the current reform efforts in Nigeria in a bid to demonstrate its home-grown character, its prospects as well as its challenges.