The Governor of the Central Bank of Nigeria (CBN), Mr. Godwin Emefiele, is reportedly returning for a second term in office. Earlier today, the Governor disclosed this at the annual investors’ conference of the Association of Assets Custodians of Nigeria (AACN) currently holding in London, United Kingdom.
Similarly, Nairametrics earlier learned that President Muhammdu Buhari has nominated Mr. Emefiele for a second term. A letter nominating Mr. Emefiele for a second term has allegedly been sent to the Senate President in line with the CBN Act.
Senate confirms President’s reappointment of Emefiele – Meanwhile, during today’s plenary session, the Nigerian Senate revealed that the letter sent by the President confirmed the reappointment of the CBN Governor.
— The Nigerian Senate (@NGRSenate) May 9, 2019
What the law says about CBN Governor’s reappointment – The CBN Governor is expected to advise the president on both fiscal and monetary policies from time to time. Aside from this, the CBN Act of 2007 stipulates that the Governor is expected to formulate, for the approval of the Board, general rules and any subsequent amendments.
Specifically, the amendment Decree No.41 of 1999n on the reappointment of the CBN governor states:
“Notwithstanding subsection (1) or (2) of this section, the President may
extend the tenure of office of the Governor, any Deputy Governor or any
other Director of the Bank whose term of office has expired until a successor
to such Governor, Deputy Governor or Director is appointed.”
Emefiele set to break history – Contrary to the popular opinion that Godwin Emefiele will be replaced as the Governor of the CBN following the expiration of his first tenor, the announcement of his reappointment makes him the first CBN Governor to get a second term since 1999.
Several candidates have been speculated to replace Emefiele as the CBN Governor, including Aishah Ahmad. Other candidates that were recommended for the role are: Herbert Wigwe, Bismarck Rewane, Professor Soji Adelaja, Obadiah Mailafia, and Umaru Abdul Mutallab.
Emefiele’s recent scorecard on the economy – Despite the challenges the Nigerian economy was faced with during the 2016 recession, Emefiele is the one who oversaw the economic and recovery growth process of the economy. As at the last quarter 2018, the Nigerian economy grew at 2.38%, with inflation dropping for the third consecutive month to 11.25%.
Also, the Monetary Policy Committee (MPC) under Emefiele recently reduced Monetary Policy Rate (MPR) by 50 points, and analysts have been critical if the reduction in MPR is enough to accelerate growth. Although, the reduction suggests that the MPC is beginning to move towards a loose monetary stance and is considering growth as a priority.
About Emefiele – Godwin Emefiele who had been on the management team of Zenith Bank since inception was Deputy Managing Director of Zenith Bank from 2001 till August 2010 when he was appointed Managing Director to succeed Jim Ovia. Before commencing his banking career, Godwin was a lecturer at the University of Nigeria Nsukka and the University of Port Harcourt. He holds a B.Sc. and an MBA in Finance from the University of Nigeria, Nsukka.