CBN silent Over IMF Comment on eNaira as Rumour Swirls About Emefiele’s Presidential Ambition

CBN silent Over IMF Comment on eNaira as Rumour Swirls About Emefiele’s Presidential Ambition

  • Nigeria's apex bank, the Central Bank has refused to comment on the report of the IMF stating that the eNaira could be used for nefarious purposes
  • CBN refused to speak to about the report by IMF as it is cautioned to take further precautionary steps to secure the eNaira
  • It is believed that it may be distracted by calls for its governor, Godwin Emefiele to run for the office of the president next year

The Central Bank of Nigeria is tight-lipped over the report by the International Monetary Fund (IMF) that Nigeria’s nascent digital currency may suffer infant mortality due to serious loopholes around it.

In a report by the global monetary fund, the IMF has warned that the eNaira is unstable and could be exploited by cybercriminals and used for terrorism financing.

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Central Bank of Nigeria's governor, Godwin Emefiele
Central Bank of Nigeria's governor, Godwin Emefiele
Source: Depositphotos

Two calls, an SMS and a WhatsApp message by to CBN’s director of Communications, Osita Nwanisiobi seeking further comments on the IMF’s reports did not elicit any response.

The IMF sounded the alarm that due to the nascent nature of CBDCs, Nigeria’s digital currency may not withstand any onslaught by cybercriminals seeking to take advantage of the vulnerability around it.

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The Monetary Fund did not specify the exact loophole but asked the CBN to work on strengthening security around the eNaira.

The IMF said:

“Prospective expansion of eNaira use to cross-border fund transfers and agency bank networks may cause new money-laundering/financing of terrorism risks. There are cyber security risks associated with the eNaira. Unforeseen legal issues, including for private law aspects of its operations (e.g., the exact nature of legal relationship between the wallet providers and CBDC holders), may subject eNaira to litigation and operational risks,” There are financial integrity risks which are mitigated by using a tiered identity verification system and applying more stringent controls to relatively less verified users.”

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The apex bank’s uncommunicative attitude over the report has further heightened the belief that its helmsman, Godwin Emefiele may be distracted by calls from some quarters for him to run for the presidency in the 2023 elections.

Emefiele has refused to openly speak on the rumour and has not also said anything about purported campaign posters urging him to take a shot at the presidency next year.


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