Market News

A former Deputy Governor of the Central Bank of Nigeria (CBN), Kingsley Obiora, has said there was no time the board of the apex bank recommended the 2022 naira redesign to then President Muhammadu Buhari.

Obiora, who said he once served as a Special Adviser on Economic Matter to a former CBN Governor Godwin Emefiele, said the apex bank’s board first heard of the naira redesign policy on December 15, 2022.

Obiora spoke yesterday in Abuja while testifying as the fifth prosecution witness in Emefiele’s trial on a six-count charge in which he is, among others, accused of unlawfully printing new naira notes.

Led in evidence by lawyer to the Economic and Financial Crimes Commission (EFCC), Rotimi Oyedepo (SAN), Obiora testified virtually via audio-visual means from his base abroad.

He said: “To the best of my recollection, the first day this policy (naira redesign) was discussed at the board was mid-December 2022. I think it was around December 15, 2022.

“The Governor (Emefiele) invited the Deputy Governor, Operations and Director, Currency Operations to present that same memo that the Committee of Governors (COG) saw in October. He also informed the board of the President’s approval.

“I do not recollect any instance of the board making recommendation for naira redesign to the President. There was no meeting the board recommended Naira redesign,” he said.

The witness had said Emefiele told the four CBN deputy governors about the naira redesign policy at an event in Lagos on October 25, 2022, adding that they advised him against announcing the policy at the event.

“On October 25, 2022, we were in Lagos to commemorate the first year anniversary of the digital currency, E-Naira. During the break between the first two sessions of the event, the governor (Emefiele) called the four deputy governors and informed us of plans to redesign the currency.

“He was wondering if he was going to announce it that day at the event. My personal reaction was that the event may not be the appropriate place.

“That was the first time I became aware of the plan. Secondly, my comment was that we would need time to study the policy and make inputs.”

The witness said Emefiele told the four deputy governors that the reason behind the secrecy of the redesign policy was to ensure its effective implementation.

Obiora said as of October 26, 2022, which was a Wednesday and the day of the meeting of the CBN’s Committee of Governors (COGs), Emefiele asked the Deputy Governor in charge of Operations, Mr. Ade Shonubi, to circulate and present a memo for naira redesign, which he (Shonubi) did.

Related News

• Emefiele: CBN board did not recommend naira redesign to Buhari, says ex-Deputy Gov
• Court orders final forfeiture of $2.045m, landed properties linked to Emefiele
• Emefiele instructed me not to keep records of collected dollars, says witness

“The Deputy Governor, Operations, presented the memo to the COGs and it was deliberated upon. During the discussion, the governor mentioned that he had already had the approval of the President for the policy.

“After the COGs’ meeting, the governor and two deputy governors joined a press conference to announce the policy to the public. All this happened on October 26, 2022,” Obiora said.

Under cross-examination by Emefiele’s lawyer, Olalekan Ojo (SAN), Obiora confirmed that he previously worked as a technical adviser to former President Goodluck Jonathan.

The banker said at its December 15, 2022 meeting, the CBN board ratified the decision of the COG on naira redesign policy, saying: “This ratification is in respect of the redesigned naira already in circulation.”

The witness also said he was aware of instances when presidential approval for disbursement of funds to Chad, Niger Republic, and the military, which the CBN complied with.

He added: “Such (presidential) request would come to the governor. He would usually let the committee (COG) know and it would be implemented before the board get to know.”

Obiora recalled that when the EFCC invited him for interrogation, he was never shown any document from former President Buhari or any officials from the Presidency complaining about the redesigned naira notes already in circulation.

He agreed with Ojo that one of the reasons for the currency redesign was to combat currency trafficking and hoarding.

At the conclusion of Obiora’s testimony, Oyedepo sought an adjournment, which Ojo did not oppose.

Ojo prayed the court to vacate November 29, which it earlier set for the continuation of the trial. 

The defence lawyer said the time would enable him attend to his health and to fully participate in his daughter’s wedding, scheduled for November 29.

Oyedepo did not object, and Justice Maryanne Anenih adjourned till December 4.