The Centre for the Promotion of Private Enterprise has warned that the implementation of the Central Bank’s electronic invoicing(e-invoicing)and evaluator for exporters and importers policy is likely to worsen the sorry state of Nigeria’s foreign trade.
The centre however advised that the policy, which was supposed to have taken effect on February 1st, 2022, should be revoked forthwith.
The CBN had introduced the evaluator to cut foreign exchange spendings for fraudulent or inflated transactions.
The new policy ensures that imports and exports activities with unit prices that are more than 2.5 percent of the verified global checkmate prices would be queried and will not be denied successful completion of either Form M or Form NXP, according to a circular signed by the Director, Trade and Exchange Department, Dr. O. S. Nnaji.
But the CPPE in a statement signed by the Director-General, Muda Yusuf, argued that the new e-invoicing policy will frustrate foreign trade as well as worsen the plights of business.
The CPPE accused the CBN of overstretching its function by the introduction of the e-invoicing policy which it claimed was the responsibility of the Nigeria Customs Service and the Finance Ministry.
In recent times, the CBN has been seen to overstretch its function due to the failures of the fiscal authorities, analysts have said.
Buhari shuts Zanaib Ahmed, Finance Minister, up on naira redesigning policy
”People with illicit money buried under the soil will have a challenge with this but workers, businesses with legitimate incomes will face no difficulties at all.”
The president’s support for the policy has however vindicated the stance of the CBN Governor who had insisted that he needs not to consult the Finance minister, having sought and obtained the approval of the President on the matter.
Mr Emefiele had on Saturday insisted the CBN will carry on with the redesign of some denominations of the Naira notes, saying it followed due process in its decision.
The apex bank made this known via its verified Twitter account, saying that the exercise was 12 years overdue.
The CBN urged Nigerians to support the measure, stressing that it was in the country’s overall interest.
The CBN said the measure was in line with provisions of sections 2 and 19 of the CBN Act.
“The management of the CBN had duly sought and obtained the approval of President Muhammadu Buhari in writing to redesign, produce, release and circulate new series of N200, N500 and N1,000 banknotes.
“The CBN urges Nigerians to support the currency redesign project, which is in the overall interest of every citizen of the country.
“The hoarding of significant sums of banknotes outside the vaults of commercial banks should be discouraged by anyone who means well for the country,” it said.
According to the CBN, it had tarried for too long considering it had to wait 20 years to redesign.
“The standard practice globally was for central banks to redesign, produce and circulate new local legal tender every five to eight years,” Emefiele claimed.
News Alert! Naira redesigning policy: We don’t need to consult anyone- Emefiele slams Minister of Finance
Finance Minister discredits CBN’s Naira redesigning policy
“However as a Nigerian privileged to be at the top of Nigeria’s fiscal management, the policy as rolled out at this time portends serious consequences on the value of Naira to other foreign currencies.
“I will however appeal to this committee to invite the CBN governor for required explanations as regards merits of the planned policy and rightness or otherwise of its implementation now.”
He had told the Finance Minister that barely two days after the announcement of the policy by CBN, the repercussion of it on the value of the Naira to the US dollar was being felt.
“To me, the policy may be a well-conceived one, but the timing going by realities on the ground, is very wrong as the Naira may fall to as low as N1,000 to a US dollar before January 31, 2023, fixed for full implementation of the policy.”
Emefiele said the action was taken in order to take control of the currency in circulation just as he posited that the bulk of the nation’s currency notes were outside bank vaults and that the CBN would not allow the situation to continue.
According to him, the planned policy was in line with Sections 19, Subsections a and b of the CBN Act 2007, upon which the management of the CBN sought and obtained the approval of President Muhammadu Buhari to redesign, produce, and circulate new series of banknotes at N200, N500, and N1,000 notes.
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