A proposed bill aiming to ban the use of foreign currencies for payments 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, the Chairman of the Senate Committee on Reparations and Repatriation.
The bill seeks to make the naira the sole legal currency for all payments, including salaries and other financial transactions in the country. Senator Nwoko argued that the continued use of foreign currencies such as the U.S. dollar and British pound within Nigeria harms the local economy.
“The widespread use of foreign currencies in the country’s financial system undermines the value of the naira,” Senator Nwoko stated, explaining that this practice contributes to economic instability. He described it as a lingering colonial influence that weakens Nigeria’s economic sovereignty.
The proposed legislation is part of efforts to strengthen the naira and promote economic independence. If passed, it would enforce stricter measures to ensure the local currency is used exclusively for all domestic financial dealings.
