Senate Bill to Ban Use of Foreign Currency in Nigeria Passes First Reading

A bill seeking to prohibit the use of foreign currencies for transactions in Nigeria has passed its first reading in the Senate.

Titled A Bill for an Act to Alter the Central Bank of Nigeria Act, 2007, No. 7, to Prohibit the Use of Foreign Currencies for Remuneration and Other Related Matters, the legislation is sponsored by Senator Ned Nwoko, Chairman of the Senate Committee on Reparations and Repatriation.

The proposed bill aims to ensure that all payments, including salaries and other financial transactions, are conducted in the local currency, the naira.

Senator Nwoko explained that the widespread use of foreign currencies, such as the Dollar and Pound Sterling, undermines the naira’s value and exacerbates economic challenges. He described this practice as a colonial relic that continues to impede Nigeria’s economic independence.