The National Assembly is proposing amendments to the Central Bank of Nigeria (CBN) Act 2007 to prevent senior Bank officials from engaging in partisan politics.
The amendment seeks to prohibit the CBN’s Chairman, Governor and Deputy Governors from engaging in political activities or becoming members of any political party for three years after they leave office.
It will be recalled that a former governor of the apex Bank, Godwin Emefiele, entered into the political fray in the 2023 presidential election after some groups as a group obtained nomination forms of the ruling party on his behalf.
To prevent a repeat scenario, the Senate moved to prohibit officials of the apex bank from entering the political sphere in the future.
The amendment bill also seeks to establish a new Board of Directors for the Bank, bringing a wider range of expertise and ensuring stronger oversight.
The amendment read, “There shall be for the Bank a Board of Directors (in this Act referred to as “the Board”) which shall be responsible for the policy and general administration of the Bank’s affairs and business.
“The Board shall consist of (a) Chairman, who shall be a renowned professional in Accounting, Finance or Economics and must have served as a Chief Executive of a regulatory agency in Nigeria. He must also have deep insight of the operations of the Central Bank of Nigeria in the course of his regulatory functions.
“(b) the Governor; (c) Five Deputy Governors (of which one shall be appointed from each region other than the region where the Governor comes from); (d) the Permanent Secretary, Federal Ministry of Finance; (e) five non-executive Directors; and (f) Accountant-General of the Federation.
The bill also proposes that the CBN’s top executives, including the Chairman, Governor, and Deputy Governors, be initially appointed for a five-year term and may be reappointed for one additional term not exceeding five years.
The proposed legislation also seeks to enhance accountability mechanisms for the CBN Governor by requiring bi-annual reports to be submitted to the National Assembly.