Breaking! 2023: INEC Tenders Cash Requirement To CBN Amid Naira Scarcity

The Independent National Electoral Commission (INEC) has tendered its cash requirement for the forthcoming elections to the Central Bank of Nigeria (CBN) as requested.

CityNews Nigeria understands that the electoral body stated that it is staying hopeful about the response to its demand from the apex bank.

Media aide to the INEC Chairman, Rotimi Oyekanmi, told The Punch on Friday that even though the commission does most of its payments through online transfers, some specific services had to be paid for in cash.

He explained that some service providers like motorcycle, boat, or canoe operators and those that supply water to its Registration Area Centres, where men and materials are deployed to the polling units on election days need cash payment.

Oyekanmi said “The need to make these special arrangements informed the meeting between the INEC Chairman, Prof Mahmood Yakubu, and the governor of the central bank on February 7, 2023.

“We have made a detailed submission on our entire cash requirement on a state-by-state basis as the CBN requested. Our submission is under consideration and we have the assurance of a positive response soon. Therefore, there is no cause for alarm. We believe that the CBN will meet us at our point of need.

“Normally, the Independent National Electoral Commission makes payments for various services through electronic transfers. The bulk of the payments the commission makes for services rendered by vendors or service providers is carried out through transfers. Luckily, all the commission’s accounts are with the Central Bank of Nigeria.

“However, there are some specific services, which form a small percentage of the total, that must be paid for in cash due to certain circumstances. For instance, there are service providers in remote, rural areas where banking services are not readily available.

“If you do not pay such providers in cash, they may not be in the position to provide the critical services that we need, so we must make the required provision. We also pay our presiding officers their training allowances in cash, just as we make some part payments to vehicle owners for the transportation of our men and materials in cash, but these payments are only a small percentage of the quantum of payments that we make, the bulk of which is through electronic transfers.”

The INEC chief press secretary disclosed that he didn’t have the information about the amount of cash the commission needed from the CBN.

CityNews Nigeria recalls that the INEC Chairman, Prof Mahmood Yakubu, recently visited the CBN governor, Godwin Emefiele, to appeal for his support in the provision of cash amidst the ongoing cash crunch.

The CBN however pledged his support to the commission saying he won’t allow the apex bank to be used to disrupt the smooth conduct of the election.