14 Banks Have Cleared Recapitalisation Hurdle – Cardoso

With astir six months to the deadline for banks successful Nigeria to conscionable the caller superior requirement, the politician of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has confirmed that astir 14 banks person scaled the hurdle, up from the 8 that met the extremity arsenic of July.

Speaking astatine the extremity of the 302nd Monetary Policy Committee (MPC) meeting, Cardoso affirmed that the Nigerian fiscal assemblage has continued to beryllium resilient, with important advancement successful the recapitalisation process.

The CBN politician said: “On the fiscal sector, the MPC noted the continued resilience of the banking strategy with astir of the fiscal soundness indicators remaining wrong projected benchmarks.

“Members besides admit the important advancement successful the ongoing slope recapitalisation exercise, arsenic 14 banks person afloat met the caller superior requirement. They truthful impulse the slope to proceed the implementation of policies and initiatives that volition guarantee the palmy completion of the ongoing recapitalisation exercise.”

Acknowledging the palmy termination of forbearance measures and waivers connected azygous obligors by banks, Cardoso said the determination had helped to beforehand transparency, hazard management, and semipermanent fiscal stableness successful the banking system.

He assured that the interaction of the removal of forbearance was transitory and posed nary hazard to the soundness oregon stableness of the banking system.

At the past MPC gathering successful July, Cardoso had mentioned that 8 banks had met the caller superior base.

Recently, LEADERSHIP had reported that 12 banks had met the superior base.

LEADERSHIP’s findings showed that Access Holdings, Zenith Bank, GTBank, Ecobank, Stanbic IBTC, Wema Bank, Providus Bank, Jaiz Bank, Lotus Bank, Greenwich Merchant Bank, Premium Trust Bank, and Globus Bank person crossed the decorativeness line.

In its March 2024 directive, the apex slope raised the minimum paid-up superior for planetary banks to ₦500 billion, nationalist banks to ₦200 billion, and determination banks to ₦50 billion.

Depending connected authorisation, non-interest banks are to conscionable ₦20 cardinal and ₦10 cardinal benchmarks. The caller rules exclude retained earnings, compelling lenders to rise caller equity, restructure, oregon merge.