2 years ago
A caller reappraisal of Nigerian banks’ enslaved portfolios showed that the institutions were not straight exposed to Silicon Valley Bank, the politician of the country’s cardinal slope has said. In addition, the politician said the Central Bank of Nigeria’s stringent guidelines assistance to make a “very safe” banking system.
Priority Given to Depositors
According to the politician of the Central Bank of Nigeria (CBN), Godwin Emefiele, a caller reappraisal of Nigerian banks’ enslaved portfolios showed that the country’s fiscal institutions had nary nonstop vulnerability to Silicon Valley Bank (SVB). Emefiele, who made the remarks during a gathering of the bank’s monetary argumentation committee, added that the cardinal bank’s alleged prudential guidelines assistance to guarantee that lone steadfast banks are allowed to operate.
Some of the guidelines and considerations utilized by the CBN see banks’ non-performing loans (NPL), which averaged 4.2%, and the superior adequacy ratio of 13.7%. According to Emefiele, these ratios, arsenic good arsenic the banks’ mean liquidity and loan-to-deposit ratios of 43% and 52% respectively, bespeak that Nigerian banks are “very safe.”
Also, successful his remarks published by Nairametrics, Emefiele implied that the cardinal slope has and volition ever prioritize slope customers.
“We volition alternatively dispose of shareholders than marque depositors suffer money,” Emefiele said.
To enactment this claim, Emefiele is quoted successful the study stating nary Nigerian depositor has mislaid wealth to a failed slope since 2003.
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Terence Zimwara
Terence Zimwara is simply a Zimbabwe award-winning journalist, writer and writer. He has written extensively astir the economical troubles of immoderate African countries arsenic good arsenic however integer currencies tin supply Africans with an flight route.
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