Emefiele

The suspended governor of the Central Bank of Nigeria, Godwin Emefiele, resigned from his post last month, according to a report by Reuters.

President Bola Tinubu nominated the former head of Citibank in Nigeria, Olayemi Cardoso, to serve as the country’s new CBN Governor days before its next interest rate meeting and set tongues wagging as to the legality of the appointment as there cannot be two governors of the apex bank at the same time.

However, government sources told Reuters that Godwin Emefiele, suspended as central bank chief by Tinubu in June and later detained by state police and charged with procurement fraud, resigned last month, effectively clearing the way for Cardoso to replace him.

Tinubu sent Cardoso’s nomination to the Senate for confirmation alongside four new deputy governors and it is unclear if the former deputy governors had themselves also resigned.

The central bank did not respond to Reuters’ request to comment on whether Emefiele and his deputy governors had resigned together. Ngelale declined to comment when asked about Emefiele’s resignation.

“The President expects the above-listed nominees to successfully implement critical reforms at the Central Bank of Nigeria, which will enhance the confidence of Nigerians and international partners,” Ngelale said in a statement.

Contrary to analysts ‘ expectations, the central bank raised rates by a smaller-than-expected 25 basis points in July under acting Governor Folashondun Shonubi, one of Emefiele’s deputies.

The bank is due to set rates again on Sept. 26, and some analysts expect a more hawkish stance.

During his inauguration in May, Tinubu promised a “thorough house cleaning” of monetary policy and said that the central bank should work towards lower interest rates after criticising Emefiele’s currency handling.

The central bank pursued unorthodox policies under Emefiele, who kept the currency artificially strong, a policy backed by former President Muhammadu Buhari, which supported government borrowings on the international markets.

Nigeria’s new government wants to encourage investments rather than rely on borrowing to create jobs as it tries to revive an economy struggling with record debt, a weak currency, double-digit inflation and fragile power supplies.

Cardoso was part of the team working on an economic blueprint for the new government. He was a former commissioner for financial planning and budget in Lagos state when Tinubu was governor from 1999-2007.

The Federal Capital Territory’s High Court set July 13 as the date for its decision over the enforcement of a fundamental rights lawsuit brought by Godwin Emefiele, the Central Bank of Nigeria’s suspended governor.

After hearing the arguments provided by the parties in the case, Justice Hamza Muazu set the date.

The Attorney General of the Federation, the Director General of the State Security Service, and the State Security Service are listed as the first through third respondents in the lawsuit.

In the course of the proceedings, the AGF’s attorney, Tijjani Ghazali SAN, informed the court that the first respondent is contesting the court’s authority to hear the applicant’s case.

He claimed that the DSS’s decision to arrest and detain Emefiele was made administratively and that the applicant’s request for relief would define the DSS’s jurisdiction.

Additionally, he argued that the CBN chairman is being detained per the directive of an FCT Chief Magistrate Court, refuting the claim of wrongful detention.

As a result, he requested that the application be denied by the court.

The second and third respondents, who were represented by attorney I. Awo, argued that the application should be denied with costs because there was already a valid order of detention for the applicant.

However, Joseph Daudu, SAN, the attorney representing Emefiele, contended that the charges brought against Emefiele were state offenses that the FCT High Court could hear.

He argued that the court had the authority to hear the case, in contrast to the preliminary objection made by the respondents against the originating summons on notice.

On June 16, the court ordered Yusuf Bichi, the director general of the Department of State Services, to allow Godwin Emefiele, the suspended governor of the Central Bank of Nigeria, access to his attorneys and family.

After being suspended by President Bola Tinubu on Saturday, Emefiele was taken into custody by the DSS.

The order was made on Friday by Justice Hamza Muazu of the FCT High Court, who further emphasized that Emefiele’s access to the area constituted a constitutional right.

The enrolled order, dated June 16, 2023, said that “The applicant’s attorneys shall have immediate access to the applicant. And frequently while reasonably awaiting the outcome of the application.

Following an application submitted by Emefiele’s attorney, J.B. Saudi, SAN, who informed the court that the DSS had not responded to earlier letters asking access to his client, the court issued the order.

The attorneys for the DSS and the Federal Government’s attorney general’s office both asked for an extension of time to file their reply to the original motion.

The request was granted, and the case was further postponed to Tuesday, June 20, 2023, for a hearing.