22 March 2017
The Minister of Finance, Mrs. Kemi Adeosun, on Tuesday asked the National Assembly to reduce the powers of the governor of the Central Bank of Nigeria (CBN).
Justifying her demand, she blamed the extensive powers of the governors for the disconnection between Federal Government’s monetary and fiscal policies.
She pleaded with the National Assembly that conferred the powers on the CBN boss, through a legal instrument, to slash them to pave the way for checks and balances.
Mrs. Adeosun made the call yesterday while receiving members of the House of Representatives Tactical Committee on Recession led by Bode Ayorinde.
She said it amounted to what she described as excesses on the part of the apex bank’s governor to decide and act on financial matters without recourse to the minister of finance, who is constitutionally required to supervise financial policies, programmes and activities of the Federal Government.
“I want to correct the impression that the CBN is under us. They are not. Unfortunately, a law was passed, making them independent and giving them more powers. This has resulted in one person having so much power.
“In the time of Prof. Charles Soludo as CBN governor, he went to the National Assembly asking for more powers and you can see where that has taken us to. So we are back to the legislature to help us correct this problem of too much power. As a result, there are no checks and balances,” she said.
Experts have since reacted to this request by the finance minister saying that any such move will result in undue political interference in monetary policies, which will not augur well for the economy.