*North expresses displeasure over CBN’s alleged relocation of key departments
*Northern Elders Forum says relocation would lead to a temporary disruption in CBN’s operations.
By; JACOB ONJEWU DICKSON & RAYMOND TEDUNJAYE, Lagos
The Minister of Aviation and Aerospace Development Barr. Festus Keyamo has ordered the relocation of the headquarters of the Federal Airports Authority of Nigeria (FAAN) back to Lagos from Abuja.
This is coming on the heels of the Northern Elders Forum frowning over the alleged directives for some key departments in the Central Bank of Nigeria (CBN) to be relocated to Lagos.
The directive of relocation of FAAN headquarters, was contained in a memo sighted by our correspondent titled, “Re: Relocation of FAAN Headquarters From Abuja To Lagos”, dated 15th January 2024, signed by Mrs. Olubunmi Kuku Managing Director/ Chief Executive Federal Airports Authority of Nigeria minuted to Director Human Resources and Administration.
It reads, ” The Honourable Minister of Aviation and Aerospace Development has directed that the Headquarters of Federal Airports Authority of Nigeria (FAAN) should be relocated from Abuja to Lagos
” Consequent upon the above, you are requested to provide the implication of the relocation to the management”.
In a telephone chat with our correspondent, the Director Corporate Communication FAAN, Mrs. Nwosu Igbo -IIjeoma neither confirmed nor denied the directive.
She however, said the agency is working on a statement to be issued soon on the matter.
However, an aviation journalist, and public affairs commentator, Mr. Chuks Iwelumo who spoke on the relocation of the agency back to Lagos described it as a welcome development.
He asserted that the movement of all the Federal agencies in the aviation sector to Abuja during the tenure of the immediate past Minister of Aviation Hadi Sarika was politically motivated.
Iwelumo, a former chairman of League of Airport and Aviation Correspondents (LAAC) noted that Lagos is the hub of Aviation, wondering why the headquaters of its agencies should be moved to Abuja.
He hinted that none of the agencies could get a befitting office and residential accommodation since their movement to Abuja.
His words, ” The relocation order of the Headquarters back to Lagos is a well development. They were discussing in on the Aviation Stakeholders platform today.
” I wonder why anybody in his real senses will move the headquarters of the federal agencies in the Aviation Ministry to Abuja, knowing fully well that Lagos is the hub of Aviation.
” Since their movement to Abuja, they couldn’t get a befitting residential and office accommodation. FAAN is occupying the former Aviation terminal, NEMA is on rented apartment, including NCAA. When the NAMA office was demolished in Lagos, they moved all the staff to Abuja. Till now, they still have accommodation and office problem”.
*Northern Elders Forum Frowns At moves to relocate key CBN Departments to Lagos
Meanwhile, the Northern Elders Forum (NEF) yesterday, frowned at the reported plans by the Central Bank of Nigeria (CBN), to relocate major departments from the Abuja headquarters to the former headquarters in Lagos.
The NEF, in a statement by its spokesperson, Abdul-Azeez Suleiman, recognized the importance of the departments in question, including Banking Supervision, DBS; Other Financial Institutions Supervision, OFISD; Consumer Protection Department, CPD; Payment System Management Department, PSMD; and Financial Policy Regulations Department, FPRD, as vital components of the CBN.
According to the statement, the affected departments are crucial to the functioning of the CBN.
“Therefore, relocating them entirely to Lagos will only serve to further strengthen the already dominant position of Lagos, while potentially weakening the significance and role of Abuja,” the statement added.
While acknowledging the CBN’s desire to improve efficiency and effectiveness, the NEF expressed worries over the potential negative impact of relocating these essential departments on both the institution itself and the nation as a whole.
“The movement would involve increased costs, loss of talent, disruption in operations, reduced coordination, regional economic disparities, impaired economic development in northern Nigeria, and decreased investor confidence in the nation’s economy.
“Here are some of the potential consequences::It would require significant financial investment as the CBN would need to allocate funds for setting up new offices, purchasing or leasing properties, relocating employees, and other infrastructural requirements. This would strain the CBN’s budget and divert resources away from other essential functions and initiatives.
“The CBN has a well-established workforce in Abuja, including professionals with significant knowledge and experience. Moving key departments to Lagos may lead to a loss of skilled employees who are unable or unwilling to relocate. This brain drain could negatively impact the CBN’s performance and efficiency.
“Relocation would lead to a temporary disruption in the CBN’s operations. Employees would need time to adjust to their new surroundings, potentially causing delays in decision-making and implementation. The transition period could result in reduced productivity, inefficient processes, and decreased service levels, further impacting the CBN’s effectiveness.
“Moving key departments to a different geographical location would hinder effective coordination and communication with other government agencies in Abuja.
“The CBN, as the nation’s monetary authority, relies on close cooperation with other bodies, such as the Ministry of Finance and relevant regulatory authorities. Physical separation may lead to increased bureaucracy and slower response times, negatively affecting policy formulation and execution.
“Shifting key departments to Lagos, which is located in the southwestern part of Nigeria, would exacerbate regional economic disparities. The concentration of such important positions and offices in one region may perpetuate the perception of Lagos as the economic center, potentially marginalizing other regions, especially Northern Nigeria. This could lead to increased feelings of neglect or economic imbalance, creating social and political tensions.
“Relocating key departments away from the nation’s capital could send a negative signal to both local and international investors. It may raise concerns about political stability, policy consistency, and the government’s commitment to regional inclusiveness. This could lead to reduced investor confidence in the Nigerian economy, ultimately impacting foreign direct investment, capital inflows, and overall economic growth.
“Northern Nigeria already faces various economic challenges, such as poverty, unemployment, and insecurity. Moving key departments away from Abuja would exacerbate the imbalance in economic development between the northern and southern regions. It could hinder the flow of investments, infrastructure development, and job creation opportunities in the north, thereby stifling economic growth and exacerbating the existing socio-economic challenges.
“The NEF finds the broader negative implications of relocating these key departments ridiculous and unacceptable as moving economic decision-making power to Lagos could exacerbate regional disparities, fostering a sense of marginalization among other regions, particularly Northern Nigeria.
“Additionally, this move could hinder the Northern governments’ efforts to promote economic diversification and reduce dependence on oil revenue.
“Unacceptably too, the North, which is home to a significant portion of Nigeria’s population, would be disproportionately affected by the relocation with reduced access to economic opportunities and financial services further widening the economic gap between Northern Nigeria and other regions, potentially exacerbating social and political tensions.” the statement said.
