Business
Councillor Tasks CBN On Loan Risk Management
The councillor representing Opobo/Nkoro Ward 5, Hon. Richard Fubara, has admonished the Central Bank of Nigeria (CBN) to put in place, adequate risk management framework, including making it difficult for any Deposit Money Bank (DMB) to obtain credit to finance eligible project at nine percent only to divert same to other usages.
In addition, he stressed that the banking watchdog should be ready to wield the big stick on any bank that supports falsification of documents by any firm issuing bonds for the purpose of accessing the soft loans being made available by the apex bank.
His admonition followed recent unveiling of the CBN credit policy aimed at increasing credit to the real sectors of the nation’s economy, noting that under the new policy, agriculture, manufacturing and other sectors considered as growth and employment stimulating, can borrow long-term as much N10 billion at consolidated nine percent interest-rate.
Fubara, who is chairman, committee on budget, Finance and Appropriation of the Legislative Assembly maintained that the CBN released policy, titled: Guidelines for Accessing Real Sector Support Facility (RSSF) through Cash Reserve Ratio (CRR) and Corporate Bonds recently is a step in the right direction.
Speaking with The Tide in Opobo Town, last Thursday, Fubara lauded the apex bank for coming up with the policy as ratified by members of Monetary Policy Committee (MPC) at its recent meeting in Abuja.
As good as the initiative looks, the councilor urged the apex to be wary of commercial banks ploys, adding that any bank circumventing the rule of the game must be thoroughly sanctioned.
According to him, “the CBN should put in place adequate risk management framework, including making it practically difficult for any bank to obtain credit to finance eligible project at 9 percent only to divert same to other usages.”
Bethel Toby
“Payment of tuition fees for undergraduate/postgraduate studies shall be subject to a maximum limit of $25,000.00 per semester,” the Manual states.
The expansion of international card limits also reflects growing confidence among lenders that foreign exchange liquidity has improved enough to support retail dollar transactions.
Speaking recently at the BusinessDay 14th Annual CEO Forum in Lagos, CBN Olayemi Cardoso, governor of the CBN said buying and selling activities now increasingly determine outcomes in the foreign exchange market, unlike in the past when market participants relied heavily on routine Central Bank interventions.
According to Cardoso, Nigeria’s net foreign exchange reserves have risen from just over $3 billion at the start of the reform programme to more than $40 billion, while gross reserves have climbed to about $52 billion, providing stronger confidence for investors and enabling the Central Bank to reserve interventions for periods of market stress rather than day-to-day liquidity management.
The restoration and expansion of international naira card spending limits are increasingly being seen as one of the clearest signs that the benefits of the CBN’s foreign exchange reforms are beginning to reach households, students and businesses making legitimate cross-border payments.
The Secretary-General and Chief Executive Officer, WEC, Dr Angela Wilkinson, disclosed this in a statement, last Thursday.
“Nigeria’s participation comes at a pivotal time as the country seeks to expand energy access, strengthen energy security, accelerate gas development and mobilise the capital required for industrialisation and sustainable economic growth.
“WEC Nigeria will convene leaders from across the energy ecosystem, apply the WEC’s globally recognised Energy Trilemma framework to Nigeria’s unique context, and promote evidence-based dialogue, practical collaboration and informed policymaking.
“It will also ensure that Nigerian and broader African perspectives contribute meaningfully to global energy conversations,” she said.
Wilkinson expressed confidence that Nigeria would play a significant leadership role at the World Energy Congress scheduled for Riyadh in April 2027 and beyond.
The statement also quoted the Chairman of WEC Nigeria, Isa, as describing the country’s participation as an opportunity to deepen national and African leadership within the global energy community through practical solutions tailored to regional development priorities.
He said the platform would promote collaboration across sectors and attract sustainable investments into Nigeria’s energy sector.
The Chief Executive Officer of WEC Nigeria, Wunti, was quoted in the statement as saying that the council would connect leadership, evidence and investment to build a secure, affordable and sustainable energy system.
“This system will be capable of driving economic growth and shared prosperity.”
According to him, the platform will also connect Nigerian institutions and businesses with international knowledge, technology, partnerships and investment opportunities through the World Energy Council’s global network.
Recall that WEC, founded in 1923, is the world’s oldest independent and impartial community of energy leaders and practitioners, advancing informed, collaborative and practical action across the global energy system.