The Economic and Financial Crimes Commission (EFCC) has issued a stern warning to foreign missions operating in Nigeria, prohibiting them from conducting financial transactions in foreign currencies. Instead, they are now required to use the Nigerian naira for all their financial dealings.
The EFCC has also made it compulsory for Nigerian foreign missions abroad to accept naira in their financial businesses.
According to the anti-graft agency, the move is to tackle the dollarisation of the Nigerian economy and the degradation of the naira.
Read also: Naira slips from best performing to worst currency in the world
In an advisory to Yusuf Tuggar, the minister of foreign affairs, titled: “EFCC Advisory to Foreign Missions against Invoicing in US Dollar,” the EFCC expressed reservations and displeasure “regarding the unhealthy practice by some foreign missions to invoice consular services to Nigerians and other foreign nationals in the country in United States dollar(s).”
In a letter dated April 5, 2024, which was addressed to the Minister of Foreign Affairs, Ministry of Foreign Affairs, the EFCC Chairman, Ola Olukoyede expressed dismay over the invoicing of consular services in Nigeria by foreign missions in dollars.
The EFCC cited Section 20(1) of the Central Bank of Nigeria Act, 2007, which makes currencies issued by the apex bank the only legal tender in Nigeria.
The anti-graft agency held that such dollarisation undermines Nigeria’s monetary policy and aspiration for sustainable economic development.
“I present to you the compliments of the Economic and Financial Crimes Commission, and wish to notify you about the commission’s observation, with dismay, regarding the unhealthy practice by some foreign missions to invoice consular services to Nigerians and other foreign nationals in the country in United States dollar,” the letter read.
“This trend can no longer be tolerated, especially in a volatile economic environment where the country’s macroeconomic policies are constantly under attack by all manner of state and non-state actors.
“In light of the above, you may wish to convey the commission’s displeasure to all missions in Nigeria and restate Nigeria’s desire for their operations not to conflict with extant laws and regulations in the country.”
The move by EFCC compliments monetary policy reforms by the Central Bank to strengthen the naira.
Join BusinessDay whatsapp Channel, to stay up to date
Open In Whatsapp
