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MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT
MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT
By: Michael Mike
Centre for Social Justices (CSJ) notes with regret the recent amendment to the Central Bank of Nigeria Act, increasing advances the CBN can grant to the Federal Government of Nigeria from 5 percent to 15 percent. The amendment contradicts best practices in fiscal responsibility and is an authorization of the Executive to create macroeconomic distortions through arbitrary and increased ways and means funding.
We recall that the extant S.38 of the CBN Act grants FGN access to ways and means financing in respect of temporary deficiency of budget revenue at such rate of interest as may be determined by CBN. The total amount of such advances outstanding shall not at any time exceed five per cent of the previous year’s actual revenue of FGN. All Advances made pursuant to this authority shall be repaid – (a) as soon as possible and shall in any event be repayable by the end of the Federal Government financial year in which they are granted and if such advances remain unpaid at the end of the year, the power of CBN to grant such further advances in any subsequent years shall not be exercisable, unless the outstanding advances have been repaid.
According to Senator Gobir said: “The very essence of this bill is to enable the federal government to meet its immediate and future obligation in the approval of the ways and means by the National Assembly and advances to the federal government by the Central Bank of Nigeria. This amendment is very consequential and it needs the support of us all. This is to enable the federal government to embark on very important projects that will inflate and rejig the economy.” However, the amendment is a misconceived route to meeting the needs and obligations of FGN and definitely cannot be the road to rejigging the economy. It will rather create new macroeconomic challenges.
Specifically, the following issues are noteworthy:
v If FGN has not been able to refund previous advances from the CBN at 5 percent of previous year’s revenue, what machinery did the amendment put in place to ensure that FGN will be in a position to repay 15 percent of previous years revenue by the end of its financial year?
v There is evidence that previous advances from the CBN were in excess of the 5 percent rule and instead of reforms to ensure conformity with fit and good practices, a leeway is provided for deepening fiscal mischief.
v Previous high levels of advances led the Executive to incur over N23trillion in ways and means which could not be repaid and had to be converted by the National Assembly to long term indebtedness contrary to the provisions of the CBN Act.
v S. 38 (1) of the CBN Act categorically states that such advance should be in respect to temporary deficiency of budget revenue and not as a means of funding the deficit budget as the Federal Government has resorted to in recent years. Over the years and in accordance with fit and good practices, ways and means has never been listed in the Appropriation Act as a source of funding the deficit.
v The option of resorting to ways and means to fund budgetary deficits further increases the already high inflation rate especially when done by printing money not backed by value. Thus, it erodes the value of the Naira, and real income; it reduces purchasing power of citizens.
v The amendment of the CBN Act did not follow due process; it was arbitrary and lacking in popular particpation. There was no opportunity of a public hearing and publicity, to give room for Nigerians to make inputs on this very crucial matter with potentials to negatively affect overall economic growth and general welfare of the people.
In the light of the foregoing, CSJ strongly appeals to President Bola Ahmed Tinubu to withhold assent to the bill. CSJ acknowledges the revenue challenges facing the nation but the implementation of this particular bill (if it becomes law) will create monumental macroeconomic challenges now and in the future.
Eze Onyekpere Sundayson Chidi
Lead Director Program Manager, Public Finance Management.
MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT
Troops Rescue Two Kidnap Victims in Kogi
By Zagazola Makama
Troops of the Nigerian Army have rescued two kidnapped victims during a routine patrol in Yagba West Local Government Area of Kogi State.
Security sources said the operation took place at about 7:01 p.m. on April 30 when troops of 12 Brigade deployed at Okoloke Patrol Base intercepted suspected kidnappers at Ejiba community.
The sources disclosed that the troops acted swiftly, forcing the suspects to abandon their victims.
According to the sources, the two kidnapped persons were successfully rescued and later reunited with their families.
They added that security patrols have been intensified in the area to prevent further incidents and ensure the safety of residents.
Troops Rescue Two Kidnap Victims in Kogi
Nigeria Summons South Africa Envoy Over Renewed Anti-Foreigner Protests, Attacks on Nigerians
By: Michael Mike
The Federal Government has summoned the Acting High Commissioner of South Africa following mounting concerns over a fresh wave of anti-foreigner protests and reported attacks targeting Nigerian citizens and their businesses.
The Ministry of Foreign Affairs disclosed that the envoy is expected at its headquarters in Abuja on Monday, May 4, 2026, where Nigerian authorities will formally register their strong displeasure over developments seen as threatening the long-standing diplomatic and economic ties between both countries.
At the heart of the meeting are recent demonstrations by various groups in South Africa, which have reportedly degenerated into harassment, violence, and destruction of foreign-owned businesses—many belonging to Nigerians. The incidents have triggered widespread anger among Nigerians, amid fears for the safety of thousands living and working in South Africa.
Spokesperson of the Ministry, Kimiebi Ebienfa on Saturday said the government is deeply worried about the implications of the unrest on bilateral relations, stressing that Nigeria remains committed to protecting its citizens abroad while pursuing diplomatic solutions.
Despite the rising tension, the Federal Government urged Nigerians to remain calm, assuring that steps are being taken at the highest diplomatic levels to address the situation and ensure the safety and dignity of its nationals.
Nigeria and South Africa share one of Africa’s most strategic bilateral relationships, rooted in a history of solidarity dating back to Nigeria’s support for the anti-apartheid struggle. However, relations have repeatedly come under strain due to recurring outbreaks of xenophobic violence in South Africa.
Notably, major incidents in 2008, 2015, and 2019 saw widespread attacks on foreign nationals, including Nigerians, leading to deaths, looting, and destruction of properties. The 2019 crisis, in particular, sparked a diplomatic row, with Nigeria recalling its High Commissioner and boycotting the World Economic Forum on Africa 2019 in protest.
In response to past crises, both countries established diplomatic mechanisms, including an early warning system and joint consular forums, aimed at preventing further violence and protecting citizens. Despite these measures, sporadic tensions and anti-immigrant sentiments have persisted, often fueled by local grievances over unemployment and crime.
Analysts warned that the current developments, if not swiftly contained, could once again test diplomatic ties between Africa’s two largest economies and undermine regional integration efforts under frameworks such as the African Union and the African Continental Free Trade Area.
The outcome of Monday’s meeting is therefore seen as crucial in determining whether both nations can de-escalate tensions and reaffirm their commitment to mutual respect, cooperation, and the protection of citizens on both sides.
Nigeria Summons South Africa Envoy Over Renewed Anti-Foreigner Protests, Attacks on Nigerians
Troops Rescue Injured Victim After Attack by Berom militia in Plateau
By Zagazola Makama
Troops of Operation Safe Haven have rescued a civilian who sustained machete injuries following an attack by Berom militia along Bachi–Werreng Road in Riyom Local Government Area of Plateau State.
Security sources said the incident occurred at about 7:20 p.m. on May 1 when suspected criminals attacked the victim along the road.
The sources disclosed that troops of Sector 6, deployed at Bachi, swiftly responded to a distress call and moved to the scene.
According to the sources, the attackers fled upon the arrival of the troops, abandoning the injured victim.
They added that the victim, who sustained machete cuts, was immediately evacuated to a hospital in Rachi for medical treatment.
The sources further said the assailants carted away the victim’s motorcycle during the attack.
They noted that security patrols have been intensified in the area, while efforts are ongoing to track down the fleeing suspects.
Troops Rescue Injured Victim After Attack by Berom militia in Plateau
Troops Rescue Two Kidnap Victims in Kogi
Two Impostors in Military Uniform Arrested in Kaduna
Nigeria Summons South Africa Envoy Over Renewed Anti-Foreigner Protests, Attacks on Nigerians
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