- Capital market expert Prof. Uche Uwaleke says the suspension of CBN Governor Godwin Emefiele was expected and marks the end of a turbulent era.
- Emefiele will be remembered for implementing significant initiatives and interventions that stimulated the economy, such as the Anchor Borrower Programme, RT200, and forex demand management policies.
- However, his currency redesign exercise and the significant growth of CBN Ways and Means during his tenure cast a shadow on his legacy, and his attempt to join the list of presidential candidates was seen as a misstep.
A capital market expert, Prof. Uche Uwaleke, has said that the suspension of CBN Governor Mr. Godwin Emefiele was long expected.
Uwaleke, a Professor of capital markets at the Nasarawa State University, Keffi, stated this during an interview while reacting to the suspension of the CBN Governor.
The Professor explained that though the President cannot sack the CBN Governor, he can suspend him, which is what he has done.
End to a Turbulet Era
According to Uwaleke, the suspension will mark an end to a turbulent era.
He, however, noted that Emefiele would be remembered for implementing big ideas such as the Anchor Borrower Programme, the RT200, the eNaira, and a raft of interventions that helped to stimulate the economy during periods of economic recession.
- “To be fair, Emefiele, to a large extent, succeeded in ensuring financial sector stability, going by the prudential ratios.
- His forex demand management policies, especially the 41 items not qualified for forex, promoted import substitution, conserved external reserves, and ensured relative stability in exchange rates.
- “It would be unfair to blame him for the current high inflation rate since most of the causative factors are beyond the control of the CBN,” Uwaleke said.
How Emefiele Would Be Remembered
He said that on the flip side, Emefiele would also be remembered for the currency redesign exercise which did not go down well with Nigerians.
He added that the CBN Ways and Means, which grew astronomically during his tenure also cast a dark spot on his legacy.
- “His greatest misstep was his attempt to join the list of presidential candidates. “All said, I think Emefiele deserves some rest now,” he said.
What you should know
Nairametrics reported that President Bola Tinubu has suspended the Governor of the Central Bank of Nigeria, Godwin Emefiele, with immediate effect.
- Mr Emefiele was directed to immediately hand over the affairs of his office to the Deputy Governor (Operations Directorate), Mr Folashodun Adebisi Shonubi, who will act as the Central Bank Governor pending the conclusion of the investigation and the reforms.
- Whilst the official narrative of the government was that his removal was due to ongoing investigations in the office of the central bank, most analysts believe his removal may have been connected to a series of events that took place under his leadership as central bank governor in the last two years.
One of the major issues contributing to Emefiele’s suspension is believed to be his handling of the naira redesign policy. This policy aimed to enhance the security features of Nigeria’s currency and tackle the menace of counterfeiting.
