The Central Bank of Nigeria (CBN) has temporarily withdrawn its Monetary, Credit, Foreign Trade and Exchange Rate Policy Guidelines for Fiscal Years 2024-2025 following widespread misrepresentations in the media.
The central bank said this in a statement on Friday. In the statement, the CBN expressed concern over the way certain aspects of the guidelines have been misreported, leading to confusion among stakeholders.
The document, issued as part of Monetary Policy Circular No. 45, was originally published on September 17, 2024, but has since been withdrawn to minimize confusion caused by media reports.
The document is a compilation of previous policies.
According to the CBN, some media outlets misinterpreted the guidelines as new policies when in fact they represent a compilation of previously issued policies and directives up to December 31, 2023.
The bank stressed that these guidelines serve as a reference for stakeholders, ensuring a clear understanding of the policies and offering arbitration in cases of conflict.
However, the CBN noted that some policies mentioned in the guidelines have been revised or superseded by more recent updates, leading to confusion.
The statement said: “The attention of the Central Bank of Nigeria (CBN) has been drawn to certain instances of misinterpretation or misrepresentation of its biennial publication on Monetary, Credit, Foreign Trade and Exchange Rate Policy Guidelines issued on September 17, 2024. In response, the CBN has temporarily withdrawn the document to minimise the risk of any further misrepresentation.
“As explicitly stated in the document to guide stakeholders, the CBN reiterates that the publication is a compilation of policies and guidelines previously issued by the Bank up to a cut-off date, normally 31 December of the relevant year.”
Guidelines open to modifications
The CBN noted that modifications to these guidelines could be made without prior notice to address emerging developments in both the domestic and global economy, and that supplementary circulars would be issued to notify stakeholders of such changes.
The CBN stressed that media reports that wrongly linked aspects of the guidelines, such as the now-suspended cybersecurity levy, or misrepresentations linking the removal of fuel subsidies to external reserves, were based on outdated or incorrect interpretations. The CBN also stressed that recent updates to its policies, including those affecting the naira exchange rate, have significantly altered some of the previous policy positions contained in the guidelines.
The central bank noted: “As a compendium of previously issued policies and guidelines, the provisions are applicable only to the extent that the guidelines and policies contained therein have not been updated or revised. This is explicitly stated in the document to guide stakeholders.
“In line with previous editions, the most recent publication (January 2024) contains policies and guidelines issued by the Bank until December 31, 2023, some of which will remain relevant during the 2024-2025 period. However, several others may cease to apply due to revisions or updates that become applicable after their publication.”
The CBN urged stakeholders and the media to seek clarification directly from the bank before publishing reports to avoid further confusion. It also reiterated its commitment to providing clear and consistent monetary policy guidance to support the Nigerian economy.
