Former Head of State, General Yakubu Gowon (retd.), has defended the late Chief Obafemi Awolowo over the controversial post-civil war financial policy, insisting that Igbos who had funds in Nigerian banks before the war were fully compensated.
Gowon made the clarification in his memoir, My Life of Duty and Allegiance, while addressing long-standing criticisms of the Federal Government’s post-war currency policy.
The Nigerian Civil War, also known as the Biafra War, lasted from July 6, 1967, to January 15, 1970. During the conflict, Gowon served as Head of State, while Awolowo was the Federal Commissioner for Finance.
According to Gowon, Awolowo has been unfairly blamed for the policy under which many former Biafrans received £20 after the war.
He explained that the decision followed recommendations by economic experts after the government considered the challenges of converting Biafran currency into Nigerian currency.
“The Central Bank created a panel to examine all the effects of converting the Biafran pound into another currency, but it was clear this would be a tough task because from the start, the Biafran currency wasn’t officially recognized as legal tender in Nigeria.
“Because there were so many Biafran pounds in use, the Federal Government realized it couldn’t exchange all of them at the same value as the Nigerian currency without causing the economy to fail.”
Gowon said economic advisers recommended that the government pay a flat sum of £20 to each adult returning from Biafra, regardless of the amount of Biafran currency they possessed.
“Economic specialists suggested that the Federal Government should set the payment to around 20 Nigerian pounds for every adult from Biafra, no matter how much Biafran money they bring back.
“We agreed to the proposal and made it our official policy, especially because we couldn’t figure out the small and large details needed to print the Biafran currency.”
However, Gowon stressed that the £20 policy did not apply to Nigerians who could prove they had deposits in Nigerian banks before the war.
“Everyone who left Nigeria but had proof that they had money in Nigerian banks got the full amount of their money plus the interest it earned, all in Nigerian currency. It would have been a bad idea to choose a different path.”
The issue of the post-war £20 policy has remained one of the most debated aspects of Nigeria’s post-civil war reconciliation process, with many survivors and historians continuing to hold differing views on its impact.