Despite opposition, the House of Representatives passed an amendment to the Central Bank of Nigeria Act, boosting the cap of Ways and Means Advances from the national bank from 5% to 15%. The House provided its consent during an emergency session, which coincided with the Senate’s previous Saturday extraordinary plenary to debate and pass some economic initiatives.
In November of last year, the World Bank urged the Federal Government against funding deficits by borrowing from the CBN through the Ways and Means Advances, citing budgetary pressures on the country’s expenditures.
Sada Soli, Chairman of the Committee on Water Resources, highlighted some concerns about the exercise as the chairman, Speaker Ahmed Wase. Soli said, “Mr Chairman, does it mean with this amendment, the CBN somehow gives advances to the government at 15 per cent or is it a wake-up call at the twilight – at the end – of this government we are changing this from five per cent to 15 per cent?”Can the Chairman, (House Committee on) Banking and Currency kindly exchange this explanation not only to the National Assembly but also to Nigerians?
The House also passed a legislation titled ‘A Bill for an Act to Amend the Supplementary Appropriation Act to extend the Implementation year of the Capital Aspect from 30 June, 2023 to 31 December, 2023 and for Related Matters.’