The Nation Newspaper Implications of CBN's bank recapitalisation policy
As part of the strategy to achieve President Tinubu’s vision of making Nigeria a $1Trillion by 2025, the Central Bank of Nigeria under the leadership of, has rolled out a policy to recapitalize the Nigerian Banks in the next 2 years, by introducing new minimum capital requirements for banks of all categories. This policy will further strengthen Nigeria’s financial system by pegging the minimum capital base for commercial banks with international authorization at N500 Billion.
The recapitalisation policy by Mr. Cardoso led CBN as he tries to tidy up our monetary policy in the bid to turn around Nigeria’s economy, is commendable. This is in addition to the stabilization of the Naira achieved so far from N1,950.00 to about N1,100.00 in the past 2 months. Recapitalisation will certainly reinforce the Banking sector and prepare it as a strategic pillar for effective socio-economic recovery and, as a critical support achievement of the $ 1 trillion by 2025. Interestingly, despite the brutal socio-economic headwinds that we face in Nigeria, the Banks are smiling as they declare huge profits year-on-year, therefore the CBN is correct to say that the Banks should recapitalize at this point in time.
Apart from a few, most of the Agric desks in the Banks have been underperforming because of a lack of broad Agric business strategy and investment-friendly policies. The Banks need to be creative from business continuity and growth perspective because Banks are not insulated from the global and national socio-economic challenges we are facing in Nigeria.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
NEC okays take-off of $617mn i-DICE programme nation-wideThe Nation Newspaper NEC okays take-off of $617mn i-DICE programme nation-wide
Read more »
State policing will address existing flaws in nation’s security framework, says NGFThe Nation Newspaper State policing will address existing flaws in nation's security framework, says NGF
Read more »
NEC okays take off of $617m i-DICE programme nation-wideThe Nation Newspaper NEC okays take off of $617m i-DICE programme nation-wide
Read more »
How northern leaders betrayed Ahmadu Bello and the nationThe Nation Newspaper How northern leaders betrayed Ahmadu Bello and the nation
Read more »
Cleric urges Nigerians on nation buildingThe Nation Newspaper Cleric urges Nigerians on nation building
Read more »
APC celebrates Tinubu at 72, describes president as nation builderThe Nation Newspaper APC celebrates Tinubu at 72, describes president as nation builder
Read more »