The Traffic

CBN Caught in N30 Trillion Scandal Senate Accuses Apex Bank of Blocking Probe

By Achimi Muktar

A fresh storm is brewing between the Nigerian Senate and the Central Bank of Nigeria (CBN) over the controversial N30 trillion Ways and Means facility granted to the federal government between 2015 and 2023.

In a dramatic twist, the Senate Ad hoc Committee investigating the funds has accused the CBN of deliberately obstructing its probe, withholding crucial documents, and frustrating efforts to uncover how the massive loan was utilized.

Senate vs. CBN: A Battle for Transparency?

The Committee, led by Senator Isah Jibrin (Kogi East), voiced its frustration on Tuesday, stating that despite multiple requests, the CBN has failed to provide the necessary documents, delaying the completion of its investigation.

“None of the documents were submitted to us,” Jibrin declared, publicly challenging the CBN’s claim of cooperation.

During a tense hearing, Malam Hamisu Abdullahi, CBN’s Director of Banking Services, insisted that the apex bank had provided all requested documents. However, Jibrin dismissed the claim outright, warning that if the bank continued to obstruct the probe, only a CBN Deputy Governor or a higher-ranking official would be allowed at the next hearing.

“What you are telling us is not the truth. We have not received the documents. I don’t want to deceive the public here,” Jibrin stated.

What Is the N30 Trillion Ways and Means Facility?

The Ways and Means facility is a loan mechanism that allows the CBN to finance government budget deficits. However, economists warn that excessive borrowing through this facility fuels inflation, weakens the naira, and disrupts economic stability.

Under the CBN Act, advances under the Ways and Means facility should not exceed 5% of the previous year’s revenue. However, concerns have grown over alleged abuse of this provision, with the government accumulating a staggering N30 trillion in loans—a move many believe contributed to Nigeria’s current economic woes.

Why Is the Probe Important?

The Senate’s investigation aims to determine how these funds were spent, amid concerns that they were mismanaged or misappropriated. The lack of transparency from the CBN has fueled speculation that top government officials and financial institutions may have misused public funds.

“We have been compelled to make this interim report public so that Nigerians know where the problem lies,” Jibrin said.
“The problem is that the CBN has consistently denied us the documents needed to complete this assignment.”

CBN’s New Direction: Too Little, Too Late?

In February 2024, CBN Governor Olayemi Cardoso announced that the bank would no longer grant Ways and Means advances to the government until all outstanding debts were repaid. While seen as a step toward economic stability, the move has not erased concerns over past financial mismanagement.

With tensions escalating between the Senate and the CBN, Nigerians are left wondering:

Who benefited from the N30 trillion Ways and Means facility?

Why is the CBN reluctant to release full documentation?

Will this investigation expose financial irregularities at the highest levels of government?

As the probe continues, one thing is clear: the truth behind Nigeria’s ballooning debt may soon be uncovered—but only if the Senate can break through the CBN’s wall of silence.