Tag: Central Bank of Nigeria

‘Interest rates to remain high until inflation rate falls’ – Cardoso

Aminu Imam
CBN gov, Cardoso

… Reiterates commitment to monetary stability Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, had said interest rates would remain high until inflation rate comes down. Cardoso, who stated this in a Financial Times report yesterday.  also said orthodox policies would be implemented to tame inflation, said there is “every indication” that MPC would “do whatever is necessary” to rein in inflation. The CBN boss said, “They will continue to do what has to be done to ensure that inflation comes down. “Let’s face it: for a long period…

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CBN orders bank to deduct ‘cybersecurity levy’ on all electronic transfers

Aminu Imam
CBN HQ

The Central Bank of Nigeria, (CBN), has imposed 0.005 percent ‘Cybersecurity Levy’ all on electronic transfers. The development is contained in a circular issued by the CBN’s Director of Payment Services, Uzoma Efobi, and addressed to all banks and payments services operators in the country on Monday. According to the apex bank, the deductions would become effective from the next two weeks and that the deductions shall be applied at the transaction origination. They will be put together and paid into the Cybersecurity Fund held by the CBN. The apex…

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‘Nigerians hoarding 94% cash’ – CBN

Aminu Imam
Naira slumps

Nigerians are holding onto cash at an unprecedented rate, with a staggering 94 percent of the country’s currency outside the banking system. This trend was revealed by the Central Bank of Nigeria (CBN)’s, in its latest March, 2024 Money and Statistics data. The figures paints a concerning picture of declining trust in the banking system and potential risks to the nation’s economic growth. According to the data on the CBN website, the amount of physical money (M1) in circulation has skyrocketed compared to the previous year. In January 2024, it…

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‘Nigeria’s galloping inflation impediment to economic growth’ – CBN

Aminu Imam
CBN HQ

The Central Bank of Nigeria, (CBN), says it’s making frantic efforts to address the nation’s galloping inflation which has engendered cost of living crisis and slowed down the economy. The apex bank asserted that Nigeria cannot attain the level of economic prosperity it desires without tackling rising inflation. Speaking on the bank’s second episode of the talk podcast on its YouTube page, the Acting Director of the CBN’s Banking Supervision Department, Dr. Adetona Adedeji, noted inflation hinders economic growth. He disclosed that the bank prioritised combating inflation over tackling rising…

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CBN reduces Banks’ loan-to-depositratio to 50%

Aminu Imam
CBN HQ

The Central Bank of Nigeria (CBN) has issued a new directive to all Deposit Money Banks (DMBs) introducing a reduction in the loan-to-deposit ratio (LDR) to 50%. The new directive, which was disclosed by the apex bank in a circular yesterday, titled: ‘Re: Regulatory Measures to Improve Lending to the Sector of the Nigerian Economy’, signed by its Acting Director of the Banking Supervision Department, Adetona Adedeji, is a follow-up to a circular released on January 20, 2020. This significant policy adjustment, effective immediately, marks a 15%-point decrease from the…

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Major shakeup, as CBN sacks 50 more officials

Aminu Imam
CBN Cardoso

Fifty officials have been sacked from their positions in the Central Bank of Nigeria (CBN) by Governor Olayemi Cardoso. It was learned that the termination of appointments affects directors, deputy directors, assistant directors, principal managers, senior managers and lower-ranking staff. The latest sack adds to a long list of ongoing disengagements in the apex bank and cuts across 29 departments. According to reports, at least 117 officials have been sacked from the apex bank in the last 20 days and it is expected that the disengagement will continue for months.…

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CBN to recover N20tr bad loans by bank owners, insiders

Aminu Imam

Major Nigerian banks are in a state of panic, as the new Central Bank of Nigeria (CBN) governor, Olayemi Cardoso moves to wield his regulatory oversight by scrutinizing the over N20 trillion of loans taken by bank insiders, major owners and shareholders. It was learnt that Cardoso has sent out sets of special examiners who are currently digging into the books of the major banks. Close to the end of the first quarter of 2024, many banks have still not released their Full Year 2023 financials. This is because Cardoso…

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?‘Nigeria may not recover Anchor Borrowers N358bn loan’- Senate

Aminu Imam

The Senate has expressed the fear that Nigeria may not recover N358 billion about 30% of the N1.1 trillion Anchor Borrowers. The Senate said the N1.1 trillion has an impressive repayment rate of up to 70% but added that the rest of the 30 per cent amounting to N358 billion are loans given to low-income farmers which have very high risk. This came up yesterday at the Senate Ad-hoc Committee probing the N30 trillion Ways and Means loans to the federal government and Anchor Borrowers Programme. The chairman of the…

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CBN stops direct involvement in interventions

Aminu Imam

…Refocuses on core mandate The Central Bank of Nigeria, (CBN), has reinstated that it is realigning its focus towards its core mandate of ensuring monetary and price stability and, hence, has stopped its direct involvement in development finance interventions. The apex bank governor, Olayemi Cardoso,  had earlier on several occasions stressed the fact that the apex bank is poised to support relevant organisations that possess the expertise and capacity to intervene directly. Given the above, the CBN decided to donate fertilisers to Nigerian farmers through the Federal Ministry of Agriculture…

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CBN provides N100bn fertilisers to boost food production

Aminu Imam

The Central Bank of Nigeria, (CBN), has handed over N100bn worth of fertilisers to the Federal Ministry of Agriculture and Food Security to boost food production across the country. CBN Governor, Olayemi Cardoso, handed over the 2.15 million bags of fertilisers to the Minister of Agriculture and Food Security, Abubakar Kyari, yesterday, at the headquarters of the Ministry in Abuja. In his address at the handing over ceremony, Cardoso said one of the primary mandates of CBN was to maintain price stability, stressing that the cost of food was a…

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