By Nathaniel Zacchaeus
The Senate yesterday approved the Central Bank of Nigeria’s policy which limited the daily cash withdrawal for individuals to N20, 000 and corporate organisations to a maximum of N100,000.
The Upper Chamber arrived at the resolution after considering the report of its Committee on Banking Insurance and Other Financial Institutions chaired by Senator Uba Sani (APC, Kaduna Central.)
Sani said the panel’s report was based on the interaction his members had with the Deputy Governor’s nominees when they appeared for screening.
Part of the report read, “The Central Bank of Nigeria should considerably adjust the withdrawal limits in response to public outcry on the policy.
“That the Committee should continue to embark on aggressive oversight of the Bank on its commitment to flexible adjustment of the withdrawal limit and periodically report the outcome to the Senate.
“That the Senate should support the Bank in the continuous implementation of transformational payments and financial industry initiatives in line with its mandate following the CBN Act.”
The Senate in plenary approved all the recommendations of the panel after some senators had expressed concern that the current arrangement if not reviewed, might negatively affect some sectors of the economy.
The Upper Chamber urged the CBN to make an upward adjustment of the proposed N100, 000 per week for individuals and N500, 000 per week for Corporate bodies in response to public outcry.
It also directed its Committee on Banking, Insurance, and other Financial Institutions, to embark on aggressive oversight of CBN on its commitment to flexible adjustment of the withdrawal limit and periodically report the outcome to the Senate.
The Red chamber however supported CBN in the continuous implementation of transformational payments and financial industry initiatives.
However, during the general debate on the report and recommendations later adopted as resolutions, many of the Senators kicked against the timing of the policy, warning that it may lead to a mass revolt in the rural areas across the country.
Senator Ajibola Basiru (APC Osun Central), was the first to kick against the policy.
He said the proposed threshold of N100, 000 and N500, 000 withdrawal per week for individuals and corporate bodies respectively, was unrealistic.
He said, “Laws are made for people and not people made or created for law. If CBN is acting under sections 2(d) and 47 of its extant Act to make life difficult for Nigerians through a policy, as representatives of the people, we need to intervene.
“Such intervention from us is to make CBN realise that the proposed Cash withdrawal limits policy is unrealistic and very injurious and detrimental to the well-being of rural dwellers, many of whom are our constituents.
“Report of this committee recommending the policy to us and by extension, to Nigerians through the suggestion of flexibility in implementation, is vague, nebulous, and means nothing,” he said.
Senator Adamu Aliero (PDP Kebbi Central), in his contribution, said the picture painted by the committee in its report on the proposed CBN policy, is nothing but an ideal picture of what the economy should be, which is far cry from what the economy is, in reality as far as Nigeria is concerned.
“The proposed CBN policy does not capture the informal sector and is very detrimental to the livelihood of rural dwellers who are not into e-banking.
“Public outcry against the policy is too much, requiring serious caution as far as implementation is concerned because Nigeria’s economy is predominantly rural,” he said.
Senator Adamu Bulkachuwa (PDP Bauchi North), in his contribution, warned that the proposed policy, if not suspended, may trigger revolt from rural dwellers.
He said recommendations made by the Senate Committee on Banking on the policy which were later adopted as resolutions, made no sense to him.
“Senate committee recommendations on the proposed CBN policy is nothing but trying to put wool in the eyes of Nigerians,” he said.
The Chief Whip of the Senate, Senator Orji Uzor Kalu (APC Abia North), who is also the vice chairman of the Committee, also kicked against it in his contribution.
He said, “N100, 000 per week for individuals and N500, 000 per week for corporate bodies, are too small. The N500, 000 per day for individuals and N3m per day for corporate bodies being implemented in Abia, Lagos, Ogun, Rivers, FCT, among others, should be sustained across the country for now.”
Other Senators who kicked against the implementation of the policy as planned from January 9, 2023, were Biodun Olujimi ( PDP Ekiti South), Chukwuka Utazi (PDP Enugu North), Stella Oduah (PDP Anambra North), Ibrahim Hassan Hadeija (APC Jigawa North East), etc.
Senators Yusuf A Yusuf (APC Taraba Central), Degi Eremienyo (APC Bayelsa East) Francis Alimikhena ( PDP Edo North), supported it in their separate contributions.
*Senate confirms CBN’s deputy govs appointments for the second term
The Senate yesterday confirmed the appointments of President Muhammadu Buhari’s nominees as deputy governors of the Central Bank of Nigeria (CBN), Messrs Aisha Ahmad and Mr Edward Lametek Adamu, for second and final terms in office.
Their confirmation followed the adoption of the report of the Senate Committee on Banking, Insurance, and Other Financial Institutions chaired by Senator Uba Sani.
Uba said the nominees’ appointments were in line with the CBN Act and that they possess relevant academic qualifications
He said that the committee did not receive any petition against them and they also scaled through the screening of relevant security agencies.
It would be recalled that Ahmad and Adamu were first appointed as CBN deputy governors in charge of the Financial System Stability and Corporate Services Directorate respectively in March 2018.
President Buhari, in a letter earlier addressed to the Senate President Ahmad Lawan asked the Upper Chamber to confirm their nominations in the “usual expeditious manner.”
According to the letter, Aishah Ahmad as Deputy Governor in charge of Financial System Stability, is responsible for leading the effort to promote a sound financial system in Nigeria; one of the principal objects of the Bank as specified within the CBN Act.
Ahmad is a member of the Governing Board and Committee of Governors at the CBN.
She is also the Chairman, of the Financial Institutions Training Centre (FITC) – a not-for-profit organisation offering training, consulting, and research services for the financial services sector.
Her banking and investment career spans several financial institutions including NAL Bank Plc, Zenith Bank Plc, and Stanbic IBTC Bank Plc, among others.
Also, Edward Adamu began his career in the Unified Public Service (UPS) in 1983 with the Bauchi State Civil Service.
He spent 35 years in the UPS, twenty-five (25) of which were spent in the Central Bank of Nigeria (CBN).
During his years in the Central Bank, he was seconded to the Gombe State Civil Service from 2008 to 2010 as the Senior Special Assistant and Head, of the Procurement Management and Due Process Office.
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He returned to the CBN in 2010 and was appointed Director of the Strategy Management Department in 2012, after a selection process.
He was later deployed to the Human Resources Department of the Bank in 2016 as Director, a position he held until he retired from the services of the Bank on 14th February 2018.
