By proposing to enact a bill to amend the enabling law of the Central Bank of Nigeria, so as to insulate the office of the CBN governor and its deputy governor from politics, the Senate most probably has in mind the distortions and uncertainties that prevailed in the financial sector before and after the 2023 general elections.

That was certainly a bad period for the country as the head of the apex bank was seen as being partisan, lending serious suspicions on subsequent monetary policies presented by the bank. It is not a period that should ever be re-enacted in the country; and if this is the underlying objective of the Senate, its proposal deserves support from Nigerians.

The proposed amendment seeks to bar the CBN governor and his deputy from participation in politics while still serving. Incidentally, the CBN Act has provisions that seem to have adequately anticipated and taken care of this possibility. It was therefore curious and confounding to most Nigerians when last year, the former CBN Governor, Godwin Emefiele, threw caution to the wind and picked the N100 million presidential Nomination and Expression forms of All Progressives Congress (APC), a political party, to participate in the presidential primary of the party. It was speculated then that an interest group made up of rice farmers bought the ticket for him.

The CBN had in the course of encouraging rice production announced that it disbursed N629 billion to farmers in its Anchor Borrowers’ Programme (ABP) as at 2022. The expression of interest and nomination form allegedly bought by farmers for Emefiele became suspect not surprisingly, as the same farmers that were struggling to repay the rice loans suddenly had millions to procure party nomination forms.

Section 9 of the CBN Act of 2007 forbids the apex bank governor and his deputy from venturing into other extra activities outside their statutory assignment at the bank unless they resign in writing to the appointing authority, the President.  Yet, Nigerians watched with great distress as the former Emefiele gleefully embarked on what was purely an excursion into the world of partisan politics.

Section 9 of the Act says “the CBN Governor and his deputies shall devote the whole of their time to the service of the Bank, and while holding office, shall not engage in any full time or part time employment or vocation, whether remunerated or not, except such charitable causes as may be determined by the Board and which do not conflict with their full-time duties.”

Although Emefiele did not pursue his presidential ambition to a logical conclusion as the forms purportedly bought for him were not submitted to the party headquarters for eventual processing, that fact did not shield the institution of the CBN and its values from ridicule in the eyes of the people, particularly as Emefiele had embarked on sufficient mobilisation with campaign materials and vehicles well lined up to kick-start the campaigns. There had also been court processes to secure Emefiele’s right to contest the election, all of which sufficiently diminished and compromised the ethos of the bank. The integrity and neutrality of the bank were put to great test and citizens’ faith in the institution had weakened.

An amendment of the CBN Act to forestall the politicisation of the bank is a welcome development. It is true that many of the laws in operation in the country unintentionally embed loopholes that are exploited by smart officials to run away from the spirit of the laws. Even though the CBN Act as it were is clear on infractions a CBN governor should not countenance, a reinforcement of the Act is in order.

However, what was clearly missing in the operations of the bank under Emefiele was appropriate corporate governance. Where legal instruments are inchoate, corporate governance ensures that standards are observed and professional ethics are upheld. Sadly, Nigeria is blessed with a plethora of laws, but scant regard for the Rule of Law. Impunity therefore thrives all over.

Therefore, what is required is not about merely amending or changing the law but a strict adherence to the letter and spirit of the law. The Act is clear that the former CBN governor ought to have vacated office upon coveting other interests that were at variance with that of the office. But he stayed put, preferring to undermine and ridicule the exalted office. That was a very bad example of service that is devoid of character.

It was more intriguing, that the appointing authority, former president Muhammadu Buhari kept a long face all through that embarrassing and shameful period when his CBN governor acted in ways that portrayed lack of respect for the dignity of the apex financial institution. Buhari and Emefiele continued to meet officially throughout those days of infamy, raising suspicion of a possible collusion and endorsement of what was clearly a manifest illegality.

Apart from the law, the appointing authority reserved the supervisory mandate to check excesses of a CBN governor. But that did not happen until the expiration of the Buhari government. That also speaks to the manner of appointment into the office of the CBN governor. At the moment, it appears the occupant and the appointing authority can collude to promote selfish interests and by doing so, sabotage the integrity of the office. Here is where the oversight of the legislature is key. But when the legislature presents itself as a willing ally of the executive appointing authority, its oversight function is effectively compromised. This was manifest in the immediate past Senate.

Going forward, it is suggested that apart from reforming the laws to reduce ambiguities and unintended loopholes, more emphasis should be on enthroning good character in public office. Public office should be approached with good conscience and a noble ambience. There are jurisdictions where all that is required of men and women who offer to serve is good conscience and knowing when to separate self-interest from that of the public.