UPDATES: Senate Summon CBN Boss Over Naira Devaluation

The Senate on Thursday, January 14, summoned Godwin Emefiele, governor of the Central Bank of Nigeria (CBN) over the continuous devaluation of the Naira.

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These are trying timesfor CBN governor, Godwin Emiefiele

This was raised by Ali Ndume, the Senate leader while debating over the continuous devaluation of the Naira in the red chamber.

Ndume descibed the situation as “worrisome” adding that ”the purchasing power of Nigerians is gradually wearing out.”

He said: ”As of today, the naira is exchanged for 305 to one dollar. In view of this worrisome situation and the fact that we all know that this country depends so much on imported materials and even food, there is a need for this Senate to, as a matter of urgency, invite or summon the governor of the CBN to explain this situation and to provide the necessary solution to this situation.”  

Responding, Senate President, Bukola Saraki, directed the Senate Leader to convey the resolution to the CBN governor.

Saraki said: “The leader of the Senate, in line with our rule 42 (1) did mention this and in line with our rules also, we must get the views of the senators that we should stand this down till Tuesday next week.

“The Senate Leader, you should convey our resolution to the central bank governor and invite him to come on Tuesday by 11:00am to present the reasons for the weak naira before the Senate.”

The apex bank chief is expected to report to the red chamber on Tuesday, January 14,  to give explanations on the continuous weakening of the naira.

Recall that the Naira slumped to a record low against the US Dollar on the parallel market yesterday, January 14, bringing the exchange rate at N305 to USD1, the lowest rate in forty-three years.

Only last Tuesday, January 5, the Naira was trading at N282 to the dollar before theCBN announced that it would stop sales to non-bank foreign exchange operators, especially bureaux de change operators.

Meanwhile, the fiery preacher and general overseer of The Latter Rain Assembly, Lagos, Pastor Tunde Bakare called for the prosecution of Emiefiele, because of the role of the apex bank in the widely publicised ongoing arms probe deal.

If you want to keep track of the issues and events that will effect the economy and the strength of the Naira, you can read our bi-weekly updates on the price of oil and the Naira – US Dollar exchange rate on the parallel market.