• Wednesday, June 19, 2024
businessday logo

BusinessDay

Senate backs CBN monetary policy

emefiele

Specifically, the upper legislative chamber said that the policies of the CBN, are geared towards increasing production, creating jobs in the country, safeguarding the nation’s commonwealth and expanding economic opportunities and growth in Nigeria.

This followed a closed door session the legislative body had with the Governor of the CBN Godwin Emefiele and top management staff of the apex bank.

In a statement issued by the Senate Leader Ali Ndume after the session, the Senate said the CBN governor presented a comprehensive account of the performance of the Nigerian economy in the last one year.

According to him, Emefiele’s presentation also gave insight into the apex bank’s decision in the foreign exchange market and the rationale underlying the recent re-introduction of a Flexible Exchange Rate Mechanism in Nigeria.

He said Emefiele attributed the over 70 percent decline in oil prices from about $116 per barrel in June 2014 to about $30 per barrel in early 2016 to current global economic conditions.

The governor, the senator added, also delved into the heart of the financial system and discussed the bank’s detailed examinations of financial institutions as well as its zero-tolerance for insider dealings by Board and Management of deposit money banks.

Ndume said the governor told those gathered at the session that the “strategic health of Nigeria’s financial system is still strong.

“It is critical that we put hands together to seek long term solutions to our underlying problem of non-diversification of foreign exchange earnings and revenues rather than pointing fingers or apportioning blames. The Senate believes strongly in the resilience of the Nigerian economy and the ingenuity of the Nigerian people and as such, we are confident that we will pull through these difficulties and come out as a much better, equitable and prosperous nation”.

Addressing journalists after the session, the Vice Chairman, Senate Committee on Media and Public Affairs Ben Murray-Bruce said the best way to grow the nation’s economy is to patronise locally-produced goods.

“For us to get out of this mess we find ourselves we need to start buying Nigerian products and we need to stop importing products. We are in a mess already and everybody is part of it. But to solve this problem, we need to buy Nigerian products”, he stated.

The lawmaker said the Finance Minister is expected to present a clearer picture of the state of the economy to senators today as well as a report on the implementation of the 2016 budget.