Arewa Youths Back Emefiele as Falana Faults Cash Withdrawal Limits 

John Shiklam in Kaduna

The Arewa Youth Consultative Forum (AYCF) has declared  support for the Governor of the Central Bank of Nigeria (CBN), Mr. Godwin Emefiele and his management team for taking bold steps to address the economic challenges facing the country.

This was just as a Senior Advocate of Nigeria (SAN), Mr. Femi Falana yesterday faulted the fresh cash withdrawal limits fixed by the apex bank, saying it did not resort to the constitution and other relevant laws on the national economy without taking the decision.

However, addressing a press conference yesterday in Kaduna, President of the AYCF, Alhaji Yerima Shettima, condemned what he described as the negative campaign being sponsored against the CBN by those opposed to the nation’s economic growth.

Yerima said his group supports any policy review by the CBN that could help boost the value of the national currency, “even if doing so will hurt politicians who have hidden millions in cash, with intent to buy up voters in the forthcoming general elections.”

He said the AYCF has, “followed closely the unfolding negative campaign that is clearly  funded by enemies of this country’s economic growth and development.

“We note with disappointment the way and manner the media has been used to castigate the CBN governor and his management for taking bold steps to address the economic challenge facing this country and how some misinformed Nigerians have been trying to undermine the process at take-off.”

Yerima said, the AYCF had  taken its stand on the matter and urged Nigerians to support the implementation of the CBN policies.

“We are in support of any policy review by the CBN that could help boost the value of our national currency, even if doing so will hurt politicians who have hidden millions in cash, with intent to buy up voters in the forthcoming general elections.

“We reject situation where national security will be threatened by sponsored political violence using cash from soakaway pits, farm houses and other illegal vaults”, Yerima said.

He said further that, “it is clear to many Nigerians that wholesale hoarding of naira banknotes by members of the public is now being dealt with by the policy of naira redesign.

According to Yerima, “Long before now, CBN’s available statistics show that cash outside banks consist of over 80 per cent of currency-in -circulation (CIC).

“That the economy has suffered heavy, avoidable bruises. As at the end of June 2022, available data indicated that N2.72 trillion out of the N3.26 trillion currency in circulation, was outside the vaults of commercial banks across the country, and supposedly held by the public.”

The forum said, after its independent investigation, it was convinced that, “there are very clear benefits”.

The group maintained that, “The current effort will ensure effective monetary policy; a beautiful means for fight against corruption that we have not tried before in the economic history of this nation; strategic effort that could help in the stabilisation of the exchange rate; more effective means of reducing inflation and

helpful to the success of a free and fair election…”

“We wish to make it categorically clear that the action of the CBN was backed by constitution and the rule of law.

“The CBN has acted within limits of its monetary policy powers, on this naira redesign policy.

“The management of the CBN relied of section 2(b), section 18(a), and section 19(a)(b) of the CBN Act 2007. Add this to the Presidential approval, as provided by the laws of the land.

“We believe that the Revised Cash Withdrawal was part of a component of economic reform policies that will help revive our national economy and ensure stability in the fight against terrorism financing, shameful level of official corruption and thievery by a section of the political class for more than a decade.”

The CBN had order banks and other financial institutions to ensure that weekly over-the-counter (OTC) cash withdrawals by individuals and corporate entities do not exceed N100,000 and N500,000, respectively.

The regulatory directives which would take effect nationwide from January 9, 2023, limited the maximum cash withdrawal per week via Automatic Teller Machine (ATM) to N100,000 subject to a maximum of N20,000 cash withdrawal per day.

But Falana, who is the Chair, Alliance on Surviving Covid 19 and Beyond (ASCAB), in a statement argued that, “it is embarrassing that the CBN has been making announcements without any regard to the constitution and other relevant laws on the national economy.

“It is particularly worrisome that the Governor of the Central Bank of Nigeria has purportedly placed a limitation on cash withdrawals in Nigeria in complete defiance of section 2 of the Money Laundering Act, 2022.

“Since the Money Laundering Act 2022 (which has fixed maximum cash withdrawal to N5 million) has not been amended the limitation of cash withdrawal of not more than N20,000 per day and N100,000 per week fixed by the Central Bank of Nigeria is illegal, null and void in every material. We urge the Nigerian people to ignore the illegal announcement.

“However, we are compelled to call on President Muhammadu Buhari to direct the management of the CBN to withdraw the illegal guideline and stop announcing more policies that are designed to sentence poor citizens to more excruciating economic hardship.”