Lawmakers Summon CBN Gov Over Decision Of Lifting Ban On 43 Forex Items

The governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, has been summoned by the House of Representatives regarding the decision to lift the forex ban on 43 items.

Recall that the said items, including toothpicks, and cement, among others, were initially restricted from accessing forex in 2015. As a result, importers of these commodities were compelled to obtain foreign exchange from the black market, often at inflated rates.

However, days after the ban was lifted, the lower legislative chamber on Tuesday passed a resolution during plenary, following the adoption of a motion of urgent public importance by Sada Soli, a lawmaker from Katsina, to summon the CBN governor.

This summon comes at a time of heightened volatility in the FX market, following the consolidation of all trading windows into the investors’ and exporters’ (I&E) window.

While moving the motion, Soli expressed concern that the decision could result in the closure of factories and ultimately weaken the nation’s ability to develop the local economy. He emphasized that the Nigerian economy would be negatively affected by this decision, and there was a possibility that “middlemen” could exploit the new policy.

In support of the motion, Jesse Onuakalusi, a lawmaker representing the Oshodi/Isolo II federal constituency of Lagos, suggested that the Central Bank of Nigeria (CBN) should reconsider the policy until the legislative action on the matter is completed.

However, when Tajudeen Abbas, the speaker of the house, put the amendment to a voice vote, it was rejected.

Cardoso and other stakeholders have been summoned to appear before the House committees on regulatory banking, finance, and customs.