*The African Centre for Justice and Human Rights insists it is of the opinion that the financing support the Central bank of Nigeria is offering the Federal Government, contrary to Fitch’s position, has created much economic stability in the system

Isola Moses | ConsumerConnect

Rather than faulting the apex bank’s recent monetary measures in stabilising the Nigerian economy, the African Centre for Justice and Human Rights (ACJHR) has flayed criticism of the Central Bank of Nigeria (CBN) for providing financing support to the Federal Government.

The rights group, in response to the position of Fitch Report, a global rating agency which has criticised the Bankers’ Bank for providing financing support for the government.

Fitch Report was reported to have criticised the decision of the CBN to print more money to finance the Federal Government’s budget.

In its report, Fitch claimed that the repeated financing of government’s budget by the CBN through Ways and Means was a risk to Nigeria’s macroeconomic stability.

However, Barr. Chinwendu Nduka-Edede, Executive Director of ACJHR, in a statement contended that the global rating agency was wrong in its position.

The rights group said: “ACJHR, as one of the critical stakeholders in the African and  Nigerian project, however, stands with the CBN and its Governor, Godwin Emefiele, on this very important matter.

“We are of the opinion that the financing support the CBN is offering the Federal Government, contrary to Fitch’s position, has created a lot of economic stability in the system.

It further stated: “We make bold to say that it is under the purview of the apex bank to offer the needed support as a lender of last resort if the Federal Government cannot provide the necessary fund for all its obligations.

“Rather than faulting the CBN for doing what it is expected to do in this kind of situation, Fitch report should be commending the apex bank.”

According to the group, “the ACJHR therefore calls on the Fitch and other organisations to desist from undermining the CBN’s gesture with distorted facts because this will not do the system and the country any good.”