NESG Backs Fuel, Electricity Hike, Knocks CBN On Forex Intervention |The Source

By Uche Mbah

The NESG Chief Executive Officer, Laoye Jaiyewola, has warned that Nigeria’s government is heading towards totalitarianism, the way things are going in the country.

“We all have seen tendencies of totalitarianism, we are facing a tremendous food crisis, and this means we are sitting on a keg of gunpowder”, he told Arise TV. “We don’t have the luxury of time”.

This was a sequel to the press release issued by the group,
Tuesday, where they listed about 15 items they claim were of urgent national importance. In the release, the group commended   Government’s actions on the deregulation of electricity and the petroleum sectors, but wants proper policies put in place.

“The NESG commends the government’s actions at deregulating fuel and electricity prices and urge that proper policies, processes, and procedures be put in place, to ensure that all the reforms (beyond price deregulation) necessary to facilitate the smooth functioning of both the fuel and electricity markets are effectively and conclusively implemented.”

The Group also expressed its reservations on the lack of transparency in the Central Bank of Nigeria’s (CBN) management of forex resource allocations and intervention funds.

The release was signed by its Chairman , Asue Ighodalo,  and Chief Executive Officer, Laoye Jaiyeola.

“The Group expresses serious concerns about how the Central Bank of Nigeria (CBN) has carried on the business of foreign exchange transactions, loan disbursements (intervention funds), and price fixings without appropriate policy clarity”, the release said.

“This can be subject to abuses, manipulations and significant market disruptions, reflective of a policy akin to crony capitalism. We therefore respectfully request the appropriate authorities to properly review this policy to restore credibility into our financial sector.”

Worried about some provisions of the ‘repealed and re-enacted’ Bank and Other Financial Institutions Act 2020’ which was recently passed by the National Assembly waiting for the President for assent, the group decried certain provisions that breach the provisions of the country’s constitution and confers immunity on CBN officials and exempts actions by the apex bank from judicial review.

“These are draconian, totalitarian and inimical to the development of a stable and transparently regulated financial sector.

“We respectfully request that the President should please withhold his assent until the Bill is properly reviewed, amended, and is made fit for purpose.

“We also most respectfully request that our legislative houses should subject  Bills, in particular, such crucial bills, to the most efficient scrutiny necessary to assure compliance with the Nigerian Constitution,