The Senate on Wednesday approved the Central Bank of Nigeria’s policy which limited the daily cash withdrawal for individuals at N20, 000 and corporate organizations at a maximum of N100,000.
The Upper Chamber 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, “That 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 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 in accordance with 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 negativity affect some sectors of the economy.
The Upper Chamber urged the CBN to make upward adjustment of the proposed N100, 000 per week for individual and N500, 000 per week for Corporate bodies in response to public outcry .
NAS tasks elderly, middle-aged on healthy lifestyles, celebrates 70 years
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 outcome to the Senate .
The Red chamber however supported CBN in continuous implementation of transformational payments and financial industry initiatives .
However during 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 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 section 2(d) and 47 of its extant Act to make life difficult for Nigerians through a policy , as representatives of the people ,we need 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 suggestion of flexibility in implementation , is vague , nebulous and means nothing, ” he said.
Senator Adamu Aliero ( PDP Kebbi Central ) , in his own contribution , the picture painted by the committee in its report on the proposed CBN policy, is nothing but an idea picture of what economy should be , which is far cry from what economy is , in reality as far as Nigeria is concerned .
” The proposed CBN policy does not capture the informal sector and 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 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 l 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 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 .
The Senators Yusuf A Yusuf ( APC Taraba Central) , Degi Eremienyo ( APC Bayelsa East ) Francis Alimikhena ( PDP Edo North) , supported it in their separate contributions.
