On Sanusi, we are all losers

A Federal High Court sitting in Lagos has reportedly fixed March 21 to hear a case filed by the suspended Governor of the Central Bank of Nigeria (CBN), Mr Sanusi Lamido, seeking the enforcement of his Fundamental Rights. Given that the suspension of Sanusi Lamido Sanusi as the Central Bank of Nigeria has become a […]

A Federal High Court sitting in Lagos has reportedly fixed March 21 to hear a case filed by the suspended Governor of the Central Bank of Nigeria (CBN), Mr Sanusi Lamido, seeking the enforcement of his Fundamental Rights. Given that the suspension of Sanusi Lamido Sanusi as the Central Bank of Nigeria has become a subject of litigation, the intervention of yours truly is purely academic. With mixed reactions in torrent and scores of hate/love arguments for and against the sudden removal of the governor of the CBN, we are undoubtedly all losers as Nigerians. For an increasingly divisive nation, Sanusi’s removal has proved another polarising factor too frequent. Coming on the heel of posturing for 2015, it is not surprising that the suspension has also become a handy partisan issue with objectivity in deficit and subjectivity in surplus. Predictably the ruling party (PDP) national publicity secretary, Chief Olisa Metuh backed the suspension, claiming  “the issues leading to Sanusi’s suspension strictly bordered  on the management of the nation’s economy.” Expectedly All Progressives Congress (APC) accused the presidency of “seeking to use the suspension of ex-Governor of the Central Bank of Nigeria (CBN), Malam Lamido Sanusi Lamido, to divert attention from the allegation of the missing 20 billion dollars oil funds”.  With these serial partisan diatribes, discussing Sanusi’s suspension tasks objectivity and even imagination. It is obviously academic, even a luxury at this interesting times, to be concerned about the bigger picture of the far reaching implications of the suspension for the banking industry in particular and the economy as a whole.  Historic facts might however prove useful in the search for objectivity.
President Umaru Musa Yar’Adua nominated Sanusi as the Governor of the Central Bank of Nigeria on 1 June 2009. His appointment was confirmed by the Senate on 3 June 2009 in  a record time. President Goodluck Ebele Jonathan on Thursday, 20th February 2014 suspended him from office few months to the end of an eventful, albeit controversial single 5 year term he had prefered. Of course the point cannot be overstated that the first and notable loser is Mallam Sanusi Lamido Sanusi himself. As a labour market student, it’s of profound academic interest of how a process driven easy entry (with appointment and senate confirmation) of a chief central banker was inversely related to his suspension/ exit without recourse to the same process that brought him to office. So much for the provision of the CBN Act! Sanusi’s ordeal brings to memory the  predicament of Bernard Longe, former MD of the First Bank of Nigeria Plc (FBN) who was summarily terminated by the the board of directors  as the managing for allegedly negligently granting an unauthorized facility to Investors International (London) Limited for the acquisition of shares in NITEL, which resulted in losses for FBN in  April 22 2002. In March 2010 the Supreme Court of Nigeria issued a landmark judgment in favour of plaintiff Bernard Longe upturning the suspension of Longe. Is history repeating itself? Certainly Longe got a judgment but it is still debatable if he got the justice since he did not return to his job. Will Sanusi get justice or judgment in the court of law is one question begging for an answer. All said we are in the final analysis workers who are deserving of decent works, well paid for, secured with easy entry and exit. International Labour Organization (ILO) has shown over the years that Millions of workers worldwide live on precarious works that are poorly remunerated. They get fired and hired at the  behest of employers. The recent casualization of the CBN’s governor has certainly made another case for decent protected work for the driver, a messenger no less for a CBN governor. An injury to one is an injury to all.
President Goodluck Jonathan may very not be a visible loser in this avoidable labour market crisis, but certainly he is not a celebrated winner. The President legitimately claimed absolute power to hire and fire; “Yes, I have absolute power. The CBN is not well defined in the Nigerian Constitution”’ , the President declared. That in itself begs the question.  Absolutism needs no interrogation no less an explanation. In a democracy everything is relative, President’s enormous powers inclusive. The 6th presidential media chat promised further search light on the governance efforts of President Jonathan. What with the issues of Budget 2014, electricity supply, road construction among other critical governance issues? Regrettably the media chat was undermined by a singular suspension that requires endless justification. Watching the President almost agonizing on Sanusi Lamido Sanusi shows the suspension was far from being an easy presidential option. Indeed it was refreshing that the President leaves a window of reconcilliation when the he said Sanusi still remained the Governor of the Central Bank of Nigeria pending investigation of the alleged abuse of office. If we must all be winners we must return to the big pictures of institution building, the economy and nation building.
Countries preoccupied with the issues in development use their Central Banks to keep the economy on course through activist macro economics with respect to pricing, (inflation), exchange rates, interest rates, capacity utilization, employment, debt management, development financing etc.
Whatever the issues against Sanusi are his tenure witnessed activist central banking the fall outs that must also be credited with Jonathan administration. They include bailing out of “Afribank, Intercontinental Bank, Union Bank, Oceanic Bank and Finbank without their collapse.  Much credit goes to Yar’adua/ Jonathan presidency for maintaining institutional autonomy of the CBN which made Sanusi to deliver on mandate.  The major loss to Nigeria in this crisis is institution building.
The emerging picture is that of two strong men, namely President Jonathan and suspended Governor Sanusi. But what happens to institution and nation building?