The Minister of Finance, Budget and National Planning, Zainab Ahmad,Thursday claimed that her ministry was kept in the dark on the proposed design of the nation’s denomination by the Central Bank of Nigeria,CBN.
Ahmad,who expressed this while responding to questions from Senator Opeyemi Bamidele (APC Ekiti Central), at the 2023 budget defence session of the ministry with the Senate Committee on Finance,said that her officials and herself learnt of it through the media.
She added:”Distinguished Senators, we were not consulted at the Ministry of Finance by CBN on the planned Naira redesigning and cannot comment on it as regards merits or otherwise.However as a Nigerian privileged to be at the top of Nigeria’s fiscal management , the policy as rolled out at this time , portends serious consequences on value of Naira to other foreign currencies.
“I will however appeal to this committee to invite the CBN governor for required explanations as regards merits of the planned policy and rightness or otherwise of its implementation now “, she said .
Puncturing Emefiele over moves by the apex bank to redesign the naira,Ahmad warned the CBN Governor of consequences that may arise from his actions.
Her remarks was sequel to a statement by the lawmaker that barely two days after the CBN announced the policy, its impact on the value of the Naira to the US Dollar was being felt.
He said: “Just two days after announcement of the policy , value of Naira to a US dollar has risen from N740 to N788 to a US dollar due to rush in exchange of stacthed Naira Notes for foreign currencies , particularly dollar .To me, the policy may be a well conceived one , but the timing going by realities on ground , is very wrong as the Naira may fall to as low as N1,000 to a US dollar before January 31, 2023 fixed for full implementation of the policy.”
The CBN had on Wednesday said that it would redesign the country’s currency from 200 Naira denomination to N1,000 notes.
It said the action was taken in order to take control of the currency in circulation, even as the CBN Governor revealed that the bulk of the nation’s currency notes were outside bank vaults and that the CBN would not allow the situation to continue.
According to him, the policy was in line with Sections 19, Subsections A and B of the CBN Act 2007.
This Act Emefiele said is the foundation on which the Management of the CBN sought and obtained the approval of President Muhammadu Buhari to redesign, produce, and circulate new series of banknotes at N200, N500, and N1,000 notes.