The House of Representatives has introduced a bill to amend the Central Bank of Nigeria (CBN) Act, aiming to strengthen governance, oversight, and transparency at the apex bank.

Co-sponsored by House Leader Julius Ihonvbere and Jesse Onakalausi, the bill scaled second reading without opposition on Thursday. The lawmakers cited recent governance lapses, foreign exchange distortions, and inconsistent monetary policies as urgent reasons for reform.

Onakalausi explained, “The CBN plays a central role in stabilising the financial system, ensuring monetary credibility, safeguarding price stability, and promoting public confidence in the Nigerian economy.”

He further noted, “Developments in recent years – ranging from governance concerns, foreign exchange distortions, monetary policy inconsistency, weak oversight mechanisms, to the challenges witnessed around currency redesign and policy communication – have exposed structural gaps in the principal Act.”

Key proposals include separating the roles of Governor and Board Chairman to prevent power concentration, strengthening the Monetary Policy Committee, capping Ways and Means financing at 10% of previous year’s revenue, and introducing stricter reporting and transparency measures.

If enacted, the legislation would be the most comprehensive reform of the CBN Act since 1991, impacting how the bank governs, communicates policy, and manages Nigeria’s financial system.