According to a letter read to the senate, Nigeria’s President, Muhammadu Buhari, has nominated the current Central Bank Governor, Godwin Emefiele, for a second and final five-year term.

At the behest of the presidency, Emefiele has overseen an interventionist currency policy. The policy resultantly propped up the local currency, Naira, by pumping billions of dollars into the foreign exchange market.

The Senate, which is the upper house of the country’s parliament, must approve the president’s nomination and everyone in the know expect it to do so. If the nomination is confirmed, Emefiele will the first Central Bank governor in Nigeria to serve a second term since the country returned to democracy in 1999.

Flavision is yet to get a comment from a Central Bank spokesman.

Pundits like Anthony Simond at London’s Standard Aberdeen Asset Management expect a continuation of the current currency policy. He said:

Whether it will be good for the country in the long run is a different question. But for now high carry and stable FX will continue.

It is noteworthy that in a quarter of a century, Nigeria entered and exited its first recession under Godwin Emefiele’s tenure, as global oil prices plummeted and then gradually, partially rebounded. Some seasoned economists have argued that the currency policy by the presidency exacerbated the economic downturn.

Justin Nwosu

Justin Nwosu is the founder and publisher of Flavision. His core interest is in writing unbiased news about Nigeria in particular and Africa in general. He’s a strong adherent of investigative journalism, with a bent on exposing corruption, abuse of power and societal ills.