Significant development rocked the economic landscape of Nigeria as the Economic and Financial Crimes Commission (EFCC) took decisive action to address the dollarization of the Nigerian economy and the degradation of the naira. Authored by Abiodun Sanusi and reported on May 11, 2024, this groundbreaking news highlighted the EFCC's stern directive to foreign missions and Nigerian foreign missions domiciled abroad, mandating the use of the naira in their financial transactions and banning the use of foreign currencies, particularly the US dollar. The move was aimed at curbing illegal practices and ensuring compliance with existing financial regulations.
The EFCC's advisory to the Minister of Foreign Affairs, Ambassador Yusuf Tuggar, titled "EFCC Advisory to Foreign Missions against Invoicing in US Dollar," served as a clear warning against the invoicing of consular services to Nigerians and other foreign nationals in the country in US dollars. In the letter dated April 5, 2024, addressed to the Minister of Foreign Affairs, the EFCC Chairman, Ola Olukoyede, expressed deep concern over the widespread practice of invoicing consular services in dollars, citing it as an aberration and a violation of Nigerian laws.
Central to the EFCC's argument was Section 20(1) of the Central Bank of Nigeria Act, 2007, which stipulates that currencies issued by the apex bank are the only legal tender in Nigeria. Any transaction conducted in currencies other than the naira within Nigeria is deemed illegal under this provision. The EFCC emphasized the importance of upholding the sovereignty of Nigeria symbolized by its national currency and underscored the detrimental impact of foreign missions' refusal to accept the naira for consular services on the country's monetary policy and economic development goals.
The EFCC's advisory called for immediate action to address this unlawful practice, urging the Minister of Foreign Affairs to convey the commission's displeasure to all missions in Nigeria. The goal was to ensure compliance with existing laws and regulations, thereby safeguarding Nigeria's economic interests and stability. However, when contacted for comments, the EFCC spokesperson, Dele Oyewale, declined to provide further details, indicating the sensitivity of the matter and the ongoing efforts to address it.
In a parallel effort to combat illegal currency transactions and stabilize the naira, the EFCC had resumed raids targeting currency speculators and illegal foreign exchange traders. Operatives of the EFCC conducted raids in popular markets such as the Wuse Zone 4 market in the Federal Capital Territory, Abuja, where they arrested Bureau De Change operators suspected of engaging in fraudulent activities. The raids were part of routine efforts to sanitize the market and eliminate illicit trading practices that undermined the country's economic stability.
However, the operation faced resistance from some Bureau De Change operators, leading to confrontations and gunfire. Despite the challenges encountered during the raids, the EFCC remained committed to its mandate of combating financial crimes and ensuring compliance with relevant regulations. Penultimate week, the commission had arrested over 35 suspected currency speculators for alleged foreign exchange fraud, underscoring the severity of the issue and the need for decisive action.
In conclusion, the EFCC's directive to foreign missions and its ongoing efforts to combat illegal currency transactions represented a significant step towards safeguarding Nigeria's economic interests and promoting financial integrity. By enforcing compliance with existing laws and regulations, the EFCC aimed to stem the tide of illegal practices that undermined the country's monetary policy and economic stability. As the nation grappled with economic challenges, the EFCC's proactive measures underscored its commitment to upholding the rule of law and protecting Nigeria's financial system from illicit activities.
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