CBN Appoints New Executives for Union Bank, Keystone Bank, and Polaris Bank

The Central Bank of Nigeria has announced the appointment of new executives for Union Bank, Keystone Bank, and Polaris Bank.  The decision comes after the dissolution of the board and management teams of these financial institutions. The appointments, effective immediately, were disclosed in a statement signed by the CBN’s acting Director of Corporate Communications, Sidi Ali Hakama.  The appointees will now oversee the operations of the respective banks. Union Bank Appointments: Yetunde Oni: Managing Director/Chief Executive Officer Mannir Ubali Ringim: Executive Director Keystone Bank Appointments: Hassan Imam: Managing Director/Chief Executive Officer Chioma A. Mang: Executive Director Polaris Bank Appointments: Lawal Mudathir Omokayode Akintola: Managing Director/Chief Executive Officer Chris Onyeka Ofikulu: Executive Director The decision to dissolve the boards and management teams was attributed to non-compliance with Sections 12(c), (f), (g), (h) of the Banks and Other Financial Institutions Act, 2020. The CBN emphasized that the actions of these banks posed a threat to financial stability. Despite the changes, the CBN assured depositors that their funds in the affected banks remain secure and unaffected by this decision.

CBN Mulls New Recapitalisation For Banks

The Central Bank of Nigeria (CBN) says it is planning to implement a new round of banking recapitalisation for the Deposit Money Banks (DMBs). Mr Olayemi Cardoso, the CBN Governor, announced this at the 58th Annual Bankers’ Dinner organised by the Chartered Institute of Bankers of Nigeria (CIBN) on Friday night in Lagos. The planned recapitalisation means that DMBs will be required to raise additional capital to meet the demands of Nigeria’s economy. Cardoso noted that President Bola Ahmed Tinubu in his Policy Advisory Council report on the national economy, had set an ambitious goal of achieving a Gross Domestic Product (GDP) of one trillion dollars by 2030, with clearly defined priority areas and strategies. According to him, it is important that banks have a role to play in the anticipated one trillion dollars economy by 2030. Cardoso said going by the huge developmental role the apex bank would want the banks to play in the next seven years, it had become imperative to demand their recapitalisation. To achieve the target, Cardoso said that Nigeria needed to experience a more rapid and inclusive economic expansion. “The administration has already commenced this journey through fiscal reforms, including the removal of petrol subsidies and the unification of the foreign exchange market rate. “Considering the policy imperatives and the projected economic growth, it is crucial for us to evaluate the adequacy of our banking industry to serve the envisioned larger economy. “It is not just about the stability of the financial system in the present moment, as we have already established that the current assessment shows stability. “However, we need to ask ourselves: Will Nigerian banks have sufficient capital relative to the financial system’s needs in servicing a $1.0 trillion economy in the near future? In my opinion, the answer is “No!” unless we take action. “Therefore, we must make difficult decisions regarding capital adequacy. As a first step, we will be directing banks to increase their capital,’’ he said. The CBN governor also announced the approval of another round of Open Market Operations (OMOs) to mop up excess liquidity from the banking system. OMOs are the main monetary policy instrument, through which the central bank buys or sells securities with financial institutions in the open markets, thereby influencing the amount of money in circulation and/or interest rates. Cardoso said, “An OMO auction was recently held with a stop rate of 17.5 per cent for the one-year tenor, attracting oversubscription of N350 billion. “Another round of OMO has been approved to further reduce excess liquidity. “Offering N108.1 billion worth of Treasury Bills with three tenors to the investing public, which can help reduce liquidity in the banking system and support government fundraising.’’ Cardoso said the apex bank would use its monetary policy tools to keep inflation low and stable. He said, “the Central Bank of Nigeria is committed to achieving monetary and price stability. This is not just a technical objective, but it has real-life implications for the well-being of our citizens. “Through targeted policies, transparent market operations, and coordination between monetary and fiscal authorities, we can ensure a more stable exchange rate, control inflation, and create an enabling environment for businesses and individuals to thrive.’’ He noted that the apex bank had taken steps to improve the effectiveness of its monetary policy tools and to strengthen the transmission mechanism so that its policy decisions have a greater impact on the economy Cardoso added that the ability of the monetary policy committee to influence the economy through its decisions had been weakened because the channels through which monetary policy was transmitted had become disrupted. The CBN governor said the apex bank was planning to make changes to the country’s foreign exchange regulations by developing new guidelines and legislation. He stated that banks and foreign exchange operators would be consulted before making any final decisions.

Senate Screens CBN Gov Cardoso, Deputy Nominees Tuesday

The Senate will on Tuesday (today) screen former Chairman of the Board of Citi Bank Nigeria, Dr Olayemi Cardoso for the position of the Governor of the Central Bank of Nigeria (CBN). The senate will also screen four nominees for the positions of CBN Deputy Governors, who will join forces with Cardoso to steer affairs of the apex bank in the next five years. In a statement by the Media Office of the Senate Leader, Opeyemi Bamidele, the Senate will screen all the nominees following its resumption from its annual recess. The senate had on August 8, adjourned sitting for its annual recess. The statement reads: “The senate of the Federal Republic of Nigeria will resume plenary on Tuesday, September 26. We will consider the screening of Dr Cardoso at the Committee of the Whole. “Cardoso will be screened alongside four deputy governors namely: Mrs Emem Usoro, Mr Muhammad Dattijo, Mr Philip Ikeazor and Dr Bala Bello. “Besides, the senate has scheduled to screen the ministerial nominees: Dr Jamila Ibrahim and Mr Ayodele Olawande, respectively designated as Minister of Youth and Minister of State for Youth on October 3.” President Bola Tinubu had on September 15, approved the nomination of Cardoso to serve as the new Governor of CBN. Tinubu also approved the nomination of four deputy governors for a term of five years each at the first instance, pending their confirmation by the Senate.

CBN Formally Confirms Emefiele’s Resignation As Cardoso Assumes Duty

The Acting Governor of Central Bank of Nigeria (CBN), Dr. Olayemi Michael Cardoso, on Friday, formally assumed duty pending his confirmation by the Senate. This is as the Central Bank officially confirmed the resignation of former CBN Governor, Godwin Emefiele. President Bola Ahmed Tinubu, recently appointed Cardoso, and other Deputy Governors.    This follows the resignation of Mr. Godwin Emefiele as Governor of the Central Bank of Nigeria (CBN). A statement by the Director, Corporate Communications, Dr. Isa AbdulMumin which was made available to journalists on Friday in Abuja, added that the Deputy-Governors-Designate have also assumed duties in acting capacities, sequel to the formal resignation of former Deputy Governors, Mr. Folashodun Shonubi, Mrs. Aishah Ahmad, Mr. Edward Lametek Adamu, and Dr. Kingsley Obiora. Dr. Cardoso and his colleagues subscribed to the relevant oaths of office at a brief ceremony held at the Bank’s Head Office in Abuja, on Friday and have since settled down to the task of administering monetary and financial sector policies of the Federal Government. An Economic and Development Policy Advisor, Financial Sector Leader, former Chairman Citi Nigeria and Commissioner for Economic Planning and Budget in Lagos, Cardoso brings over three decades of managerial experience on board. He is an alumnus of Aston University, Birmingham, United Kingdom, where he studied managerial and administrative studies. He also holds a Master’s degree in Public Administration from the Harvard Kennedy School, United States of America. It would be recalled that Dr. Cardoso and his colleagues were appointed by President Bola Tinubu to their respective positions at the Bank on September 15, 2023, subject to their confirmation by the Senate. Meanwhile, The Central Bank of Nigeria (CBN) has confirmed the resignation of Mr Godwin Emefiele as its governor, three months after being suspended from office by President Bola Tinubu.