CBN Denies Allegation Of Non-Remittance Of Operational Surpluses For 5 Years

The Central Bank of Nigeria (CBN) has reacted to Senate’s allegation that it has failed to remit 80% of its operational surpluses into the Consolidated Revenue Fund (CRF) account in the last 5 years.

In its clarification, the CBN denied the allegation which was made by the Chairman Senate Committee on Finance, Senator Solomon Adeola (APC, Lagos), saying that as a law-abiding government agency, the apex bank has at no time defaulted in the remittance of its operational surpluses.

This disclosure was made by CBN’s Deputy Governor in charge of Economic Policy, Dr Kingsley Obiora, at the senate public hearing on 2022-2024 Medium Term Expenditure Framework (MTEF) in Abuja, according to NAN.

What the Deputy Governor of CBN was saying

Obiora said 80% of the apex bank’s operational surpluses had always been remitted to the CRF on yearly basis.

The apex bank top official explained that the remittance was done in line with the provisions of the Fiscal Responsibility Act (FRA) and not that of the CBN Act, which stipulated 75 per cent remittance.

He said, “With due respect to the Senate and in particular to this committee, the CBN, as a law-abiding government agency, has not at any time defaulted in the remittance of its operational surpluses. We do this on a yearly basis as required by the Fiscal Responsibility Act, despite the fact that the CBN Act requires us to remit 75 per cent only.’’

In his own reaction, Senator Adeola asked the CBN to produce documentary evidence to prove its remittances to the committee on September 3. He also urged the apex bank to produce its audited account for the last five years.

In case you missed it

• The Senate had on Wednesday accused Government Owned Enterprises of worsening the current dwindling revenues in the country by engaging in a spending spree instead of remitting the appropriate funds into the federation account.
• The Chairman of the Senate Committee on Finance, Senator Solomon Adeola, who made the accusation noted with concern that big spenders like the Central Bank of Nigeria, and the Nigerian National Petroleum Corporation among others had yet to remit their operational surplus to the consolidated revenue fund account over the years.