……Raise Concerns Over Widening Economic Gap

The Northern Elders Forum (NEF) has thrown a wrench into the Central Bank of Nigeria’s (CBN) proposed relocation of key departments from Abuja to Lagos, voicing its deep concern over the potential consequences of such a move.

The NEF specifically expressed anxiety about the relocation’s impact on regional economic disparities. They argue that shifting crucial departments like Banking Supervision and Financial Policy Regulations to Lagos, already Nigeria’s financial powerhouse, would only further bolster its dominance while potentially diminishing the economic significance of Abuja and Northern Nigeria as a whole.

Beyond the regional imbalance, the NEF presented practical concerns about the relocation’s cost and operational disruptions. They predicted significant financial burdens associated with setting up new offices, relocating staff, and managing the potential loss of experienced personnel unwilling to relocate. Additionally, they fear temporary disruptions in the CBN’s operations during the transition, leading to delays, reduced productivity, and potentially hindered service levels.

Furthermore, the NEF highlighted the potential strain on intergovernmental cooperation. They stated that physically separating the CBN’s key departments from other crucial agencies in Abuja, like the Ministry of Finance, could lead to bureaucratic hurdles and slower response times in policy formulation and execution. This, in turn, could negatively impact investor confidence in the Nigerian economy.

While acknowledging the CBN’s aim to improve efficiency, the NEF urged the bank to reconsider the relocation, stressing the potential for increased costs, talent drain, operational disruptions, and ultimately, a widening economic gap between North and South. They called for a solution that balances geographical considerations with maintaining the CBN’s effectiveness and fostering balanced economic development across the nation.