Nigeria’s upper legislative chamber, the Senate, on Tuesday passed for second reading an amendment Bill intended to set the tenures of Central Bank Governor and Deputy Governors at a six year single non-renewable term.
The upper chamber is also proposing one year notice from apex bank on any policy for the replacement of old Naira notes and the withdrawal from circulation to be carried out in phases such that the measure does not cause any distortion to economic activities.
The Senate’s decision followed a bill to amend the CBN Act 2007 sponsored by Senator Tokunbo Abiru and co-sponsored by all 41 members of the Senate Committee on Banking, Insurance and Other Financial Institutions
In his lead debate on the bill, Sen. Abiru pointed out that the current CBN Act 2007, which empowers the bank with the control and administration of the monetary and financial sector policies, had not been amended for over 16 years, despite growing changes to the bank’s balance sheet and developments in the banking and other related financial services industry.
The lawmaker maintained that the proposed amendments were aimed at further strengthening the apex bank in the discharge of its primary mandate of ensuring the nation’s monetary system stability.
Some Other proposed amendments to the CBN Act include providing a single non-renewal term of 6 years for the Governor and the Deputy Governors.
