Tinubu Withdraws Nomination of Ruby Onwudiwe for CBN Board over her support for Obi

President Bola Tinubu has decided to withdraw the nomination of Ruby Onwudiwe as a member of the Central Bank of Nigeria (CBN) board. This decision comes in response to objections raised by prominent members of the All Progressives Congress (APC), citing Onwudiwe’s support for Peter Obi in the 2023 presidential election.

According to reports, Senators Opeyemi Bamidele and Solomon Adeola expressed concerns about the propriety of Onwudiwe’s nomination during a meeting with President Tinubu and Senate President Akpabio. Additionally, key APC supporters voiced strong objections to the nomination of an opposition figure for a critical position at the apex bank.

Onwudiwe is a replacement for the former Southeast nominee, Urum Eke, who declined his nomination due to his current engagement at the World Bank. Eke, a consultant to the World Bank and native of Abia State, rejected his nomination as a member of the CBN board last month.

It’s worth noting that President Tinubu had initially submitted a request to the Nigerian Senate for the confirmation of Dr. Ruby Onwudiwe as a member of the CBN board of directors. In a letter addressed to Senate President Godswill Akpiabio, Tinubu emphasized the importance of Onwudiwe’s appointment in accordance with the provisions of the CBN Establishment Act 2007.

“I am pleased to nominate Dr. Ruby Onwudiwe for confirmation by the senate as a member of the CBN board of directors,” stated Tinubu. “It is noteworthy that Onwudiwe is being proposed as a replacement for Mr. Kalu Eke, who is unavailable for the position.”

Initially, Tinubu urged the senate to promptly consider and confirm Onwudiwe’s appointment, highlighting her qualifications and suitability for the role.

However, the subsequent objections raised by APC members have led to the withdrawal of Onwudiwe’s nomination, raising fresh concerns about making the central bank political. In light of the feedback and protests, Tinubu is expected to announce a new nominee from the South East region to replace Onwudiwe.

The withdrawal raises concerns about the CBN’s independence

The withdrawal of Onwudiwe’s nomination raises concerns about the potential implications for the independence of the Central Bank of Nigeria (CBN). As an institution tasked with maintaining monetary stability and implementing monetary policy, the CBN relies on a board of directors composed of qualified and experienced individuals.

The CBN Act 2007 provides that the CBN shall be a fully autonomous body in the discharge of its functions under the Act and the Banks and Other Financial Institutions Act with the objective of promoting stability and continuity in economic management.

Against this backdrop, the rejection of Onwudiwe’s nomination, ostensibly due to her political affiliations, may raise questions about the extent of political interference in the appointment process for key positions within the CBN. Economic experts have warned that the independence of the CBN is crucial for maintaining credibility in monetary policy decisions and fostering investor confidence in the Nigerian economy.

Former CBN governor, Godwin Emefiele, was said to have violated the CBN Act in several ways due to his partisanship – aligning monetary policies with the political interests of the ruling APC. For instance, the printing of the N30 trillion Ways and Means loans to the federal government, in stark violation of the CBN Act, is noted to have been influenced by partisanship.

The N30 trillion loans are said to be a major contributor to Nigeria’s high-flying inflation, which currently stands at 29.90 percent.