Bill Seeking To Amend Section 11 Of CBN Act 2007 Passes Second Reading

The House of Representatives, on Tuesday, passed through the second reading a bill seeking to amend section 11 of the Central Bank of Nigeria (CBN) Act, 2007 to bar the Governor, Deputy Governors or Directors of the Apex bank from partisan politics.

The proposed legislation tilted, “Bill for an Act to Amend Section 11 of the Central Bank of Nigeria, Act 2007 to add more Conditions for disqualification and Cessation of Appointment as Governor, Deputy Governor or Director of the Bank; and for Related Matters (HB. 2023),” was sponsored by Hon. Sada Soli (APC, Katsina).

While leading the debate on its general principles, Bill’s sponsor, Soli noted that provisions of Section 11 of the principal Act state that: “a person shall not remain a governor, deputy governor or director of the bank if he is a member of any federal or state legislative house; director, officer or employee of any bank and other financial institutions.”

He said the Bill seeks to add more provisions to the Principal Act, for disqualification of the governor, deputy governors or directors of apex bank who take part in partisan politics.

According to him, the amendment seeks to insert a new subsection (f) to read that the bank’s chief shall cease to hold office if he or she, is a member of a political party or involved in partisan politics.

Soli however said the bill is intended to restore its credibility from the shock it had suffered in the cause of interpreting the existing law, and not against any individual.

According to him, “the governor, deputy governor and director shall cease to hold office in the bank if he is (a) incapable of carrying out his duties, (b) convicted of any criminal offence, (c) guilty of any serious misconduct in relation to his duties under this act, (d) disqualified from practising his profession in Nigeria, (e) becomes bankrupt. Then (e) in the act becomes (g) to add in the principal act by inserting a section 11 (f) “if he’s a member of a political party or a partisan, or involved in partisan politics.

“This amendment is no prejudice to anybody but because the Act was tested and it was found weak, and therefore we need to strengthen the Central Bank of Nigeria (CBN) as the lender of last resort, the bank of the federal republic of Nigeria to restore its credibility from the shock it has suffered in the cause of interpreting the law, basically because of the absence of what I am trying to amend. Why am I doing this? Because there was a time CBN Governor went to court seeking an interpretation of whether he can participate in partisan politics. We need to address that. Today the credibility of CBN in the custody of sensitive election material is being questioned. It’s not against any individual but to save the integrity of CBN.”

The proposed amendment is not unconnected with the failed presidential ambition of the CBN Governor, Godwin Emefiele.