By Rikwense Muri
In his Independence Day speech last year, His Excellency President Bola Tinubu vowed to expose the rot in the Central Bank of Nigeria (CBN), describing the apex bank under his predecessor, former president Muhammadu Buhari, as a den of corruption. He pledged a thorough housecleaning of the den of malfeasance the CBN had become. According to him, “A new leadership for the Central Bank has been constituted. Also, my special investigator will soon present his findings on past lapses and how to prevent similar reoccurrences.”
True to his words, the Central Bank of Nigeria (CBN) has been at the center of a remarkable period of restructuring since the appointment of Yemi Cardoso as Governor in September 2023. This transformative process was accelerated by President Bola Tinubu’s decision to commission a comprehensive investigation, led by Special Investigator Jim Obazee, whose report was submitted on March 31, 2024. As the dust settles on these significant changes, it is imperative to delve into the details and comprehend the implications of this restructuring for the Nigerian economy and its citizens.
First and foremost, the appointment of Governor Yemi Cardoso and his team of Deputy Governors, which includes Dr. Bala M. Bello, Ms. Emem Nnana Usoro, Mr. Muhammad Sani Abdullahi Dattijo, and Mr. Philip Ikeazor, reflects a strategic vision to inject new energy and expertise into the leadership of the CBN. These individuals bring a diverse range of skills and experiences to the table, promising a more dynamic and forward-thinking approach to monetary policy and financial regulation. Their collective knowledge and capabilities speak to a commitment to steer the CBN towards modernization and effective governance of the financial sector.
The findings of Special Investigator Jim Obazee’s report are likely to have served as a catalyst for the ongoing restructuring at the CBN. While the specifics of the report have not been made public, the fact that President Bola Tinubu commissioned such an investigation suggests a serious commitment to addressing underlying challenges within the apex bank. The subsequent actions taken by Governor Yemi Cardoso are indicative of a proactive response to rectify any identified shortcomings. It is evident that the leadership at the CBN is not complacent and is willing to confront issues head-on for the betterment of the Nigerian financial system.
The ongoing reform in the Central Bank of Nigeria can be best describe as a right step in the right direction. The rot in the Apex bank before the coming of the new management is unprecedented and can only be comparable to what happened in the core civil service. Most of those affected in ongoing retirement have dumped professionalism and are more or less opportunist businessmen in suit and tie.
The Economic and Financial Crimes Commission (EFCC) released details of 18 out of the 26 fresh multi-million-dollar and naira corruption charges against the embattled former Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele. Emefiele who is presently in the custody of the EFCC and Henry Isioma Omoile, were arraigned at the Special Offences Court sitting in Ikeja, Lagos, by the EFCC on 26 fresh counts.
According to the anti-corruption agency, details of the 18 fresh count charges against the former CBN Governor include “Allocating forex of $2,136,391,737.33 without bid; allocating forex of $291,945,785.59 without bid; Abuse of office by special allocating of forex of $1,769,254,793.16; Abuse of office by special allocating of forex of $370,872,893.01; Corruptly received $26,552,000 from NIPCO Plc; Corruptly received $740,000 from NIPCO Plc.
Other charges against the former CBN Governor include that he “Corruptly received $2,410,000 from Raja Punjab on account of forex to his employer; Corruptly received $6,320,000 from Raja Punjab on account of forex to his employer; Corruptly received $7,720,000 from Raja Punjab on account of forex to his employer; Corruptly received $850,000 from Raja Punjab on account of forex to his employer; Corruptly received $400,000 from Source Computer Ltd as kickback for contract award.”
Others include that he “Corruptly received $200,000 from Source Computer Ltd as kickback for contract award; Confer corrupt advantage on his associate, Limelight Multidimensional Services Ltd to the tune of N900,216,324.21; Confer corrupt advantage on his associate, Limelight Multidimensional Services Ltd to the tune of N1,060,030,249.42; Confer corrupt advantage on his associate, Comec Support Services Ltd to the tune of N149,001,009.7. etc. However, the former CBN governor pleaded not guilty.
At a macroeconomic level, the ongoing restructuring at the CBN holds significant promise for Nigeria’s economic stability and growth. Effective monetary policy is crucial to managing inflation, exchange rates, and overall economic performance. Therefore, the recalibration of the CBN’s operations under Governor Yemi Cardoso’s leadership is an opportunity to reinforce confidence in the country’s financial institutions and ensure sustainable economic development. Furthermore, the ripple effect of this restructuring can potentially attract foreign investment and foster a more robust financial ecosystem, bolstered by enhanced governance and oversight.
So far so good, Dr Yemi Cardoso and his team out of dedication and commitment to meet the presidential mandate, have made remarkable achievements that all Nigerians can testify and are proud of. These includes: clean up of the BDC segment with 4,173 licenses revoked for various infractions , banking sector recapitalization, Naira gains about 45% within weeks and became the best performing currency in Africa , from N1,920 to N1,100. Investors confidence is returning to the economy as more U.S Dollars came into the economy in the last 2 months, the highest in 5 years with all valid forward obligations fully cleared, and many more. Indeed, Cardoso and his team are refocusing the CBN on its core mandate. This is a refreshing news to all Nigerians of whom I am well pleased as citizen.
From a citizen’s perspective, the implications of the ongoing restructuring at the CBN are equally significant. A well-functioning central bank directly impacts the day-to-day lives of Nigerians through its influence on interest rates, access to credit, and the stability of the financial system. Therefore, the continued success of the CBN’s restructuring efforts is inextricably linked to the welfare of the populace. Citizens stand to benefit from a more resilient and transparent financial sector that promotes greater financial inclusion and consumer protection.
In light of these considerations, it is paramount for Nigerians to throw their weight behind Governor Yemi Cardoso and his team as they navigate the complexities of restructuring the CBN. The challenges ahead are formidable, but the potential benefits for the economy and the lives of citizens are immense. Supporting this transformation will require patience, collaboration, and constructive engagement from all stakeholders, including the government, financial institutions, businesses, and individual citizens.
Nigeria stands at a crucial juncture, and the fate of its financial sector is interwoven with the success of the ongoing restructuring at the CBN. By rallying behind Governor Yemi Cardoso and his team, Nigerians can help shape a more resilient, inclusive, and forward-looking financial landscape for generations to come. The collective support for this reinvigorated leadership at the CBN is not just an option, it is a national imperative.
In conclusion, the ongoing restructuring at the Central Bank of Nigeria under the stewardship of Governor Yemi Cardoso represents a pivotal moment in the country’s economic trajectory. With the findings of the Special Investigator’s report serving as a catalyst, this transformation holds the potential to redefine the CBN’s role in promoting financial stability, economic growth, and the welfare of all Nigerians. The implications are clear: the success of this restructuring is essential for the prosperity of Nigeria and its people. Therefore, unequivocal support for Governor Cardoso and his team in this endeavor is not a mere choice; it is a call to action for a better, more vibrant future for all.
Amb Rikwense Muri
President, Southern Taraba Youths Coalition for Peace (STYCOP)
