FG distances self from naira redesign, warns CBN of consequences

Nigeria’s Minister of Finance, Budget and National Planning, Zainab Ahmed, has distanced herself and the FG from the proposed naira redesign.

The planned redesign had been announced by the Central Bank of Nigeria governor, Mr. Godwin Emefiele, over 48 hours ago.

The Minister, who disowned the policy, stated that it does not receive the blessing of the Ministry of Finance. She also warned of dire consequences if the CBN goes ahead to implement the redesign policy.

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Ms. Ahmed, on Friday, spoke on the policy when she appeared before the Senate Committee on Finance for the 2023 budget defence of the ministry. While responding to questions from Senator Michael Opeyemi Bamidele representing Ekiti Central Senatorial district, she maintained that the policy may be good, but coming at the wrong time.

Opeyemi said the pronouncement may have triggered a rise in naira to US dollars in terms of value. He stated that naira has jumped from N740 to N788 to a US dollar due to rush in exchange of stashed funds.

The Senator also said: “To me, the policy may be well conceived, but the timing going by realities on ground is very wrong as the Naira may fall to as low as N1,000 to a US dollar before January 31, 2023 fixed for full implementation of the policy”, he said.

“We were not consulted”

Responding to the Senator, the Minister said she read the news but the FG has nothing to do with the naira redesign plans.

“Distinguished Senators, we were not consulted at the Ministry of Finance by the CBN on the planned Naira redesigning and cannot comment on it as regards merits or otherwise.

“However, as a privileged Nigerian at the top of Nigeria’s fiscal management, the policy as rolled out at this time, portends serious consequences on the value of Naira to other foreign currencies.

“I will, however, appeal to this Committee to invite the CBN governor for required explanations as regards merits of the planned policy and rightness or otherwise of its implementation now,” she said.