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More Support for relocation of CBN departments to Lagos

Cardoso, CBN Governor

Finance and economy analysts have shared perspectives on the relocation of some units and departments of the Central Bank of Nigeria to Lagos.

The stakeholders spoke on Wednesday following the recent apex bank’s announcement directing the movement of some of its units and departments to Lagos for enhanced operational efficiency.

The CBN’s decision to relocate certain departments from its Abuja headquarters to Lagos has given rise to intense debates and controversies in recent weeks.

While some are viewing it as a wise choice due to Lagos’ superior infrastructure capacity, others, primarily from the Northern political class, expressed concerns about potential disparities between the North and South.

In an interview with pressmen, the Managing Director, APT Securities and Funds Limited, Garba Kurfi, described the apex bank’s decision as the best for the national economy development and blessing to Lagos given the CBN’s existing but decaying infrastructure in the city.

Kurfi, an economy and investment expert,  emphasised the potential positive impact if the CBN operates efficiently, stating, “If the CBN works efficiently, it is better for the economy because they are the monetary policy of the economy. Whatever they think will be better for their system and the economy, at the end of the day, should be encouraged to be.”

He pointed out that Lagos State would benefit from increased tax revenues due to the relocation of CBN units and departments, as more people are paid salaries within the state.

Regarding concerns about the CBN’s decision to move units from Abuja to Lagos, Kurfi highlighted the overall benefits, stating, “Since the overall benefits outweigh the costs, let it be. It is not the immediate cost that you look at, but the overall benefits.”

He justified the move, citing the CBN’s need for more operational space and the concentration of banks’ head offices in Lagos.

On the legal aspects of the CBN’s actions, Kurfi emphasised an employer’s right to deploy staff for greater productivity.

He suggested that if an employee disagrees with such decisions, resignation is an option, emphasizing the availability of job opportunities for others.

Speaking in the same vein, Principal Partner at Intel Solicitors, Ademola Salami, said,  “The Central Bank of Nigeria functions effectively as a bankers’ bank and holds the flexibility to operate optimally from any region in the country. The deployment of CBN staff to various parts of Nigeria aligns with operational needs and is conducted without external interference.

“While the administrative headquarters of major commercial banks are located in Lagos, it prompts consideration whether it is administratively rational for the CBN to execute transactions or perform functions from its Abuja head office, rather than leveraging existing structures in Lagos.”

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