Nigerian banks, the most regulated in the world – CBN

Central Bank of Nigeria, CBN.

Central Bank of Nigeria, CBN.

*Allays fears over JPMorgan delisting

19 September 2015, Abuja – The Deputy Governor of the Central Bank of Nigeria (CBN) in charge of economic policy, Mrs. Sarah Alade, has said banks operating in Nigeria are one of the most regulated in the world and expressed optimism that the era of bank failure was gone.

Alade declared this at the second Adegboyega Awomolo and Associates Colloquium in Abuja where she dismissed the insinuations that the action of JPMorgan would lead to collapse of the Nigerian banks.

She said the various economic policies already put in place by the apex bank to supervise and monitor banks in the country would prevent the financial institutions from collapse.

The CBN deputy governor who spoke through a director in the bank, Mr. Emmanuel Ukeje, explained that the JPMorgan was just an international bank whose action cannot in anyway spell doom for the country with its removal of Nigeria from the index.

She disclosed that the international bank felt angry with Nigeria when the authorities refused to succumb to its recommendation that the country’s currency, the naira, be further devalued.

Apart from her point that the JPMorgan’s delisting of Nigeria’s bonds would not adversely affect the banks, Alade also hinted that the foreign investors would not suffer any setback in their investment in the country.

The CBN deputy governor commended the organisers of the colloquium for chosing the theme: ‘Accountability and Integrity as pillars of National Development,’ and appealed to Nigerians to shun economic crimes in order to make the country a great nation of the world.

She said: “Feelers have indicated that a section of Nigerians especially in the economic sector has been troubled over the action of JPMorgan to the Nigerian nation.

“Let it be known here that there is nothing to worry about. Even if it is a challenge to the nation, it is one that will be overcome without any major adverse effects to the economy.

“JPMorgan is just an international bank, well respected but has an axe to grind with this country because the authority has refused to further devalue the naira.”
“Devaluing the naira itself has effect on the people of the country and so, the implications must be weighed before any serious government will embark on it,” she added.

Alade assured that the CBN would always regulate the banks in the country for effective operations and service to depositors adding that CBN will always give back-up support where and when necessary.
*Senator Iroegbu – Thisday

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