By 
Matters eRising with Olusegun Oruame
…. The state of the eNaira serves as a somber commentary on the broader failings of the nation’s financial governance.
A Federal High Court in Lagos has ordered the interim forfeiture of $2.04 million and seven properties linked to the former Central Bank of Nigeria (CBN) Governor, Godwin Emefiele.
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The ruling, issued by Justice Akintayo Aluko, follows an application by the Economic and Financial Crimes Commission (EFCC), which is investigating alleged fraudulent activities connected to Emefiele.
Emefiele’s tenure at the CBN is marred by numerous allegations of corruption and mismanagement, with one of the most controversial being the launch of Nigeria’s digital currency, the eNaira, in 2021.
The CBN engaged Bitt Inc., a fintech company with minimal market capitalization and just a handful of employees, as the technical partner for the eNaira project. Critics alleged that Bitt Inc. was a company tied to Emefiele and his associates, raising concerns about conflicts of interest and potential self-dealing.
Emefiele even announced plans for the CBN to acquire a majority stake in Bitt Inc. after its registration in Nigeria, further fueling suspicions.
This judgment serves as a stark reminder of how initiatives like the eNaira were mismanaged under Emefiele’s watch.
Industry experts warned of missed opportunities to strengthen Nigeria’s fintech ecosystem, reduce the country’s reliance on foreign exchange, and enhance the value of the naira. They urged then-President Muhammadu Buhari to scrutinize the contract, but their concerns were ignored, and Emefiele remained undeterred.
Now, with Justice Aluko’s ruling, Emefiele is forced to forfeit properties that include prime real estate in Lekki and Ikoyi, Lagos, as well as an industrial complex under construction in Agbor, Delta State. The properties are suspected to have been acquired through proceeds of unlawful activities. This judgment serves as a stark reminder of how initiatives like the eNaira were mismanaged under Emefiele’s watch.
The eNaira, launched with much fanfare as Africa’s first central bank digital currency (CBDC), has struggled to gain traction. Despite promises from its promoters, adoption rates have been sluggish, and challenges persist.
Unlike cryptocurrencies such as Bitcoin and Ethereum, the eNaira is controlled by the CBN and is pegged at parity with the physical naira. However, its success hinges on building trust—a priority that was neglected by Emefiele.
A recent analysis by Vanguard Newspaper revealed that the value of eNaira in circulation increased by 302% in nine months to N10.26 billion by the end of September 2023. Yet, this growth has not translated into widespread adoption or usage. Although the CBN claimed over one million hits on the eNaira platform within 24 hours of its launch, many now see these numbers as a hollow victory, overshadowed by the deeper issues of trust and credibility.
The interim forfeiture judgment against Emefiele is more than just a legal decision; it is a condemnation of his tenure at the CBN. The eNaira, once hailed as a groundbreaking initiative, now stands as a tragic symbol of what happens when personal ambition and greed take precedence over national interest.
As Nigeria grapples with the economic challenges left in the wake of Emefiele’s leadership, the state of the eNaira serves as a somber commentary on the broader failings of the nation’s financial governance.
