Tinubu suspends Emefiele as CBN governor, orders probe of his office

June 9, 2023 9:29 pm

President Bola Tinubu has suspended Godwin Emefiele as the governor of the Central Bank of Nigeria (CBN).

The office of the secretary to the government of the federation (SGF) announced his suspension.

Willie Bassey, director of information, SGF office, in a statement issued on Friday, said the suspension is with immediate effect.

According to the statement, Emefiele is to transfer his responsibilities to the deputy governor, operations directorate.

Folashodun Adebisi Shonubi, the deputy governor, is expected to act as the CBN governor pending the conclusion of an investigation of Emefiele’s office.

“This is sequel to the ongoing investigation of his office and the planned reforms in the financial sector of the economy,” the statement reads.

“Mr Emefiele has been directed to immediately hand over the affairs of his office to the Deputy Governor (Operations Directorate), who will act as the Central Bank Governor pending the conclusion of investigation and the reforms.”

Emefiele was one of the top officials who met with Tinubu on his first day in office as president.

During his inaugural speech, Tinubu said the current 18.5 percent interest rate of the CBN is “too high”.

Tinubu said it needed to be adjusted downwards to encourage investment.

He described the interest rate as “anti-people” and “anti-business”.

“Monetary policy needs thorough house cleaning. The Central Bank must work towards a unified exchange rate. This will direct funds away from arbitrage into meaningful investment in the plant, equipment and jobs that power the real economy,” Tinubu said.

“Interest rates need to be reduced to increase investment and consumer purchasing in ways that sustain the economy at a higher level.”

The president also said his administration will review the naira redesign policy.

In the build-up to the last general election, members of Tinubu’s party — the All Progressives Congress (APC) — accused Emefiele of using the policy to hurt the chances of the president in the poll.