CBN Insists Nigerian Banks Are Safe, Sound

Ahead of the Monetary Policy Committee (MPC) meeting of the
Central Bank of Nigeria (CBN) on Monday, July 26 – Tuesday, July
27, 2021, the financial system regulator has reiterated that
Nigerian Deposit Money Banks (DMBs) and other financial
institutions under its supervision are resilient, safe and
sound.

Speaking with journalists in Abuja at the weekend, the Acting
Director, Corporate Communications Department of the Bank, Osita
Nwanisobi said the Nigerian banking system had proven to be very
sturdy in spite of the global challenges posed by the coronavirus
pandemic.

He made this clarification in response to certain stories
circulating in social media attacking the soundness and safety of
some Nigerian banks, describing the reports as false and
unfounded.

According to him, routine bank examination and stress tests for
financial institutions operating in the country indicated that no
Deposit Money Bank licensed by the Central Bank of Nigeria is
currently under any form of financial distress, adding that the
banks have adequate capital to absorb unexpected losses that may
arise.

In line with the bank’s resolve to ensure adherence to
prudential standards, Nwanisobi said the CBN continues to monitor
the activities of banks in order to ensure that no individual or
institution breaches the laid down guidelines.

He, therefore, advised the banking public to disregard any
report alleging insolvency in the Nigerian banking sector.

Similarly, he reiterated the desire of the Bank to prioritize
financial inclusion as a measured approach to increase the number
of adults included in financial services provided by banks in
Nigeria.

Nwanisobi, therefore, urged members of the banking public to
take advantage of the services provided by the banks, particularly
the intervention programmes initiated by the CBN, to enhance their
economic status and contribute to overall national development.

Ahead of the Monetary Policy Committee (MPC) meeting of the
Central Bank of Nigeria (CBN) on Monday, July 26 – Tuesday, July
27, 2021, the financial system regulator has reiterated that
Nigerian Deposit Money Banks (DMBs) and other financial
institutions under its supervision are resilient, safe and
sound.

Speaking with journalists in Abuja at the weekend, the Acting
Director, Corporate Communications Department of the Bank, Osita
Nwanisobi said the Nigerian banking system had proven to be very
sturdy in spite of the global challenges posed by the coronavirus
pandemic.

He made this clarification in response to certain stories
circulating in social media attacking the soundness and safety of
some Nigerian banks, describing the reports as false and
unfounded.

According to him, routine bank examination and stress tests for
financial institutions operating in the country indicated that no
Deposit Money Bank licensed by the Central Bank of Nigeria is
currently under any form of financial distress, adding that the
banks have adequate capital to absorb unexpected losses that may
arise.

In line with the bank’s resolve to ensure adherence to
prudential standards, Nwanisobi said the CBN continues to monitor
the activities of banks in order to ensure that no individual or
institution breaches the laid down guidelines.

He, therefore, advised the banking public to disregard any
report alleging insolvency in the Nigerian banking sector.

Similarly, he reiterated the desire of the Bank to prioritize
financial inclusion as a measured approach to increase the number
of adults included in financial services provided by banks in
Nigeria.

Nwanisobi, therefore, urged members of the banking public to
take advantage of the services provided by the banks, particularly
the intervention programmes initiated by the CBN, to enhance their
economic status and contribute to overall national development.