- President Bola Ahmed Tinubu appointed Folashodun Shonubi as the acting governor of the Central Bank of Nigeria (CBN) over the weekend.
- Shonubi’s appointment came after the secret police suspended and arrested former Governor Godwin Emefiele, claiming an ongoing investigation of his office and the planned reforms in the banking sector.
- Investors and analysts perceive Emefiele’s suspension and Shonubi’s appointment as a change toward traditional economic policies under Bola Tinubu, which is why the outlook for Nigeria’s Eurobonds is bright. Emefiele has a precarious balance between partisan politics and his presidential bid in 2022.
- Since 2019, Shonubi, 61, has acted as Emefiele’s deputy and has represented Emefiele on the board of the Federal Inland Revenue Service. Shonubi has more than 30 years of expertise in Nigerian banking and engineering.
- Many in the business community have hailed Tinubu’s appointment of the new bank head as another bold move- although he excluded the three deputy governors who were superior to Shonubi.
- Many believe that in order to avoid hogging the attention, the president will want the bank to be controlled by someone who is both low profile and seen as amenable to his objectives.
