Directs Embassies To Comply.
By John Obi
The Economic and Financial Crimes Commission (EFCC) has warned that the United States dollar will not be used for transactions in the country saying the practice is not only unhealthy but an aberration.
In view of this, the agency has issued a letter to foreign foreign missions operating in Nigeria, banning them from conducting transactions in foreign currencies and requiring them to use the Naira for their financial activities.
The Anti -graft Commission also instructed Nigerian foreign missions located abroad to accept the Naira for their financial operations.
In the letter dated April 5, 2024, addressed to the Minister of Foreign Affairs, the Chairman of the EFCC, Ola Olukoyede, expressed disappointment regarding the invoicing of consular services in Nigeria in dollars by foreign missions,citing Section 20(1) of the Central Bank of Nigeria Act, 2007, which designates the currencies issued by the central bank as the only legal tender in Nigeria.
The letter read, “I present to you the compliments of the Economic and Financial Crimes Commission, and wish to notify you about the commission’s observation, with dismay, regarding the unhealthy practice by some foreign missions to invoice consular services to Nigerians and other foreign nationals in the country in United States dollar ($).
“This practice is an aberration and unlawful as it conflicts with extant laws and financial regulations in Nigeria. Section 20(1) of the Central Bank of Nigeria Act, 2007 makes currencies issued by the apex bank the only legal tender in Nigeria.
“It states that ‘the currency notes issued by the Bank shall be the legal tender in Nigeria on their face value for the payment of any amount’.
“This presupposes that any transaction in currencies other than the naira anywhere in Nigeria contravenes the law and is, therefore, illegal.
“In light of the above, you may wish to convey the commission’s displeasure to all missions in Nigeria and restate Nigeria’s desire for their operations not to conflict with extant laws and regulations in the country.”
The Commission also recently announced its plan to clamp down on schools, and other business outfits in Nigeria that charge customers in dollars and other foreign currencies.
It said such action is unacceptable as it puts pressure on the Naira.
According to EFCC Head of Media and Publicity, Dele Oyewale,
the agency has set up a task force of 7,000 individuals to tackle dollar fraudsters and other illegal foreign exchange transactions in the country.
He added “the task force is not just to monitor naira abuse alone but for the whole economy. So, the EFCC is working to ensure that those breaking the rules find their way back to the right path so that the wrath of the law will not be on them.
