Business
CBN Threatens To Sanction Banks Hoarding New Naira Notes
Published
1 year agoon
By
EditorCBN Governor, Mr Godwin Emefiele
The Central Bank of Nigeria, CBN has vowed to sanction any commercial bank hoarding the new naira notes from the public.
According to CBN, from Thursday (today), monitoring of commercial banks will commence, in order to know those who are not giving the new naira notes to customers.
The branch Controller of Awka CBN, Anambra State, Mr. Benedict Maduagwu, disclose this during a sensitization programme to traders at the main market, Onitsha, Anambra State on Thursday.
READ ALSO: Heads Will Roll Over N23.7 Trillion CBN’s Advances To Government – Expert
He said, “As from today, the CBN will be sanctioning any commercial bank that is not dispensing new notes to the public.
“We will be visiting commercial banks to ensure that they give out the new naira notes to the public to do their business.
“We will make sure that the new notes made available to banks are not diverted to politicians only.”
He also stated that the new redesign was targeted at safeguarding the nation’s currency from hoarding by individuals who stock naira in their houses.
He said, “The hoarding of banknotes by members of the public, with statistics, shows that 84.71 per cent of the currency in circulation are outside the vaults of commercial banks, with only 15.29 per cent in the Central Bank and commercial banks,”
He said the CBN also redesigned the currency because of worsening shortage of clean and fit banknotes and the increasing case of counterfeiting notes by criminals.
READ ALSO: Why We’re Not Accepting New Naira Notes – Traders
He, however, urged the traders to embrace the new notes, adding that it would help to control inflation and bring the hoarded currency into the banking system.
According to him, the policy would help to get more accurate data on money supply and monetary aggregates.
He also stated that the currency redesign would assist in the fight against corruption as the exercise would rein in the higher denomination used for corruption, noting that the movement of such funds from the banking system could be tracked easily.
VANGUARD
You may like
CBN Gives New Directive On Lending In Real Estate
How I Collected Dollars In Cash For Emefiele, Dispatch Rider Tells Court
JUST IN: CBN Sells FX To BDCs At N1,101/$1
JUST IN: CBN Gov Sacks Eight Directors, 32 Others
BREAKING: Jim Obazee Concludes CBN Probe, Submits Report To Tinubu
CBN Raises Capital Base For Mega Banks To N500bn
Olusegun Alebiosu has been appointed as the Acting Managing Director/Chief Executive Officer of First Bank of Nigeria Limited (FirstBank Group), effective April 2024.
Alebiosu steps into this pivotal role from his previous position as the Executive Director, Chief Risk Officer, and Executive Compliance Officer, a position he held since January 2022.
Alebiosu brings to the helm of FirstBank over 28 years of extensive experience in the banking and financial services industry. His expertise spans various domains including credit risk management, financial planning and control, corporate and commercial banking, agriculture financing, oil and gas, transportation, and project financing.
READ ALSO: JUST IN: Access Holdings Names New Acting CEO
Having embarked on his professional journey in 1991 with Oceanic Bank Plc. (now EcoBank Plc.), Alebiosu has held several notable positions in esteemed financial institutions.
Prior to joining FirstBank in 2016, he served as Chief Risk Officer at Coronation Merchant Bank Limited, Chief Credit Risk Officer at the African Development Bank Group, and Group Head of Credit Policy & Deputy Chief Credit Risk Officer at United Bank for Africa Plc.
Alebiosu’s academic credentials further enrich his professional profile. He is an alumnus of the Harvard School of Government and holds a Bachelor’s degree in Industrial Relations and Personnel Management. Additionally, he obtained a Master’s degree in International Law and Diplomacy from the University of Lagos, as well as a Master’s degree in Development Studies from the London School of Economics and Political Science.
READ ALSO: Meet Newly Appointed Union Bank CEO
A distinguished member of various professional bodies, including the Institute of Chartered Accountants (FCA), Nigeria Institute of Management (ANIM), and Chartered Institute of Bankers of Nigeria (CIBN), Alebiosu is renowned for his commitment to excellence and ethical practices in the banking sector.
Beyond his professional endeavors, Alebiosu is known for his passion for golf and adventure. He is happily married and a proud parent.
With Alebiosu’s appointment, FirstBank of Nigeria Limited anticipates continued growth and innovation under his leadership, reinforcing its position as a leading financial institution in Nigeria and beyond.
Business
CBN Gives New Directive On Lending In Real Estate
Published
6 days agoon
April 17, 2024By
EditorThe Central Bank of Nigeria, CBN, has released a new regulatory directive to enhance lending to the real sector of the Nigerian economy.
The directive, issued on April 17, 2024, with reference number BSD/DIR/PUB/LAB/017/005 and signed by the Acting Director of Banking Supervision, Adetona Adedeji, signifies a notable shift in the bank’s policy towards a more contractionary approach.
In line with the new measures, the CBN has reduced the loan-to-deposit ratio by 15 percentage points, down to 50 per cent.
This move aligns with the CBN’s current monetary tightening policies and reflects the increase in the Cash Reserve ratio rate for banks.
READ ALSO: JUST IN: CBN Gov Sacks Eight Directors, 32 Others
The LDR is a metric used to evaluate a bank’s liquidity by comparing its total loans to its total deposits over the same period, expressed as a percentage.
An excessively high ratio may indicate insufficient liquidity to meet unexpected fund requirements.
All Deposit Money Banks are now mandated to adhere to this revised LDR.
The CBN has stated that average daily figures will be utilised to gauge compliance with this directive.
Furthermore, while DMBs are encouraged to maintain robust risk management practices in their lending activities, the CBN has committed to continuous monitoring of adherence and will adjust the LDR as necessary based on market developments.
READ ALSO: JUST IN: CBN Increases Interest Rate To 24.75%
Adedeji has called on all banks to acknowledge these modifications and adjust their operations accordingly. He emphasised that this regulatory adjustment is anticipated to significantly influence the banking sector and the wider Nigerian economy.
The circular read in part, “Following a shift in the Bank’s policy stance towards a more contractionary approach, it is crucial to revise the loan-to-deposit ratio policy to conform with the CBN’s ongoing monetary tightening.
“Consequently, the CBN has decided to decrease the LDR by 15 percentage points to 50 per cent, proportionate to the rise in the CRR rate for banks.
“All DMBs must maintain this level, and it is advised that average daily figures will still be applied for compliance assessment.
“While DMBs are urged to sustain strong risk management practices concerning their lending operations, the CBN will persist in monitoring compliance, reviewing market developments, and making necessary adjustments to the LDR. Please be guided accordingly.”
The Dangote Petroleum Refinery has announced a reduction in the price of Automotive Gas Oil, popularly called diesel, from N1,200/litre to N1,000/litre.
It announced this in a statement issued on Tuesday by its spokesperson, Nduka Chiejina.
The statement read in part, “In an unprecedented move, Dangote Petroleum Refinery has announced a further reduction of the price of diesel from N1,200 to N1,000/litre.
READ ALSO: NNPP Faction Suspends Kano Governor For Six Months
“While rolling out the products, the refinery supplied at a substantially reduced price of N1,200/litre three weeks ago, representing over 30 per cent reduction from the previous market price of about N1,600/litre.
“This significant reduction in the price of diesel at Dangote Petroleum Refinery is expected to positively affect all the spheres of the economy and ultimately reduce the high inflation rate in the country.”
According to The PUNCH report, last week, oil marketers called on the refinery to reduce its diesel price, as they urged managers of the facility to sell at N850/litre.
Details later…
Edo Guber: Why I Want To Become Governor – APGA Candidate, Osifo
Edo Guber Final List : Group Knocks LP, Commends, INEC, Yakubu
Cable Theft Soldiers Dismissed
Trending
- News4 days ago
‘Have Some Conscience’ – Lady Tackles Salvation Ministries Founder, Ibiyeomie, Over 20% Of Salary As Offering Preaching [VIDEO]
- News5 days ago
Edo Commissioner Stripped Of Chieftaincy Title For Disrespecting Throne
- News4 days ago
APC Debunks Viral Video, Says Presidency Not After Ganduje
- Metro4 days ago
Police Rescue Three Toddlers Locked Up In Lagos Home
- Headline5 days ago
Woman Who Took Dead Uncle To Bank To Secure Loan, Arrested [VIDEO]
- Headline5 days ago
JUST IN: Chief Of Defence Forces Involved In Chopper Crash
- Politics5 days ago
PDP Crisis: Drama As Dino Melaye, Ortom Exchange Words During Meeting [VIDEO]
- Politics2 days ago
Edo Guber: Akoko-Edo PDP Leaders Meet In Igara, Describe Ighodalo, Ogie As ‘Perfect Match’
- Headline4 days ago
Best Airports In Africa For 2024 Named, Nigeria Missing [Full List]
- Metro4 days ago
BREAKING: Protests As Gunmen Kill 12 In Plateau Village