Emefiele’s reappointment will consolidate macroeconomic stability – Uwaleke

Prof. Uche Uwaleke of Nasarawa State University Keffi, said the reappointment of Mr Godwin Emefiele as the Central Bank of Nigeria (CBN) governor would further consolidate macroeconomic stability.

Uwaleke stated this in an interview with our reporter in Lagos, while reacting to the reappointment of Emefiele President Muhammadu Buhari.

He described the reappointment as one development that spoke to policy consistency and would further consolidate macroeconomic stability, especially with respect to exchange rate and inflation.

“Uwaleke, now a research fellow with the Securities and Exchange Commission (SEC), said the reappointment was a good omen for the capital market.

“Investors both domestic and foreign, can have some degree of confidence in the direction of monetary policy, which is positive for the capital market,” uwaleke stated.

He said the interventions by the CBN in critical sectors of the economy, particularly agriculture and non-agric based SMEs would continue with Emefiele’s reappointment.

“These will rub off positively on economic recovery efforts, especially now that the CBN under Emefiele has signaled an accommodative monetary policy stance.

“It is equally positive for financial systems stability and I expect a positive reaction,” uwaleke said.

He urged the governor to ensure intensification and effective monitoring of the interventions, emphasising the Anchor Borrowers programme.

“Emefiele should also focus on ensuring increased access to credit by SMEs and generally fostering a low interest rate environment with the support of fiscal authorities,” uwaleke added.

It was reported that President Buhari nominated Emefiele for a second term in office.

A letter for the tenure renewal was signed by Buhari on Wednesday and has since been sent to the senate for confirmation.

The CBN Act stipulated that the senate must confirm the nomination of any of its governors before the appointment could take effect.

This is the first time since 1999, when Nigeria returned to democracy, that anyone would be nominated to serve two terms as CBN governor.

Emefiele was first appointed in 2014 by former president Goodluck Jonathan and was retained by Buhari when he took office in 2015.