Business
Distressed Micro-Finance Banks To Face Hammer
There are ongoing plans by the Central Bank of Nigeria (CBN) to revoke licenses of distressed microfinance banks in the country.
It was gathered that CBN has told the affected institutions to brace up for the challenges ahead. It was part of the issues discussed at the recently held Committee of Microfinance Banks in Nigeria (COMBIN) meeting.
Investigations shows that a letter in respect of this directive has been sent by the apex bank to the effected institutions.
The CBN in the letter mandated the effected microfinance banks to temporarily stop receiving deposits or giving out loans until they either recapitalise or merge with a stronger bank to form a strong MFB.
CBN is planning to release the list of the concerned banks to the public early this year. The banks have been given till January 2010 to either merge or recapitalise or risk closure.
The affected institutions are likely to be handed over to the Nigerian Deposits Insurance Corporation (NDIC) by the CBN after revocation of their license. NDIC is expected to settle depositors of the affected banks of the insured deposits.
The development has caused uneasiness in the MFB sector as the affected banks have embarked on aggressive loan recovery to make their banks liquidate. Most of the affected banks are those currently facing liquidity problems while some have collapsed.
A source from the CBN hinted that the list of the affected banks has been compiled and would be released soon. “We have forwarded letters to the affected institutions, mandating them to stop collecting deposits or giving out loans,” he said.
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Senate Orders NAFDAC To Ban Sachet Alcohol Production by December 2025 ………Lawmakers Warn of Health Crisis, Youth Addiction And Social Disorder From Cheap Liquor
The upper chamber’s resolution followed an exhaustive debate on a motion sponsored by Senator Asuquo Ekpenyong (Cross River South), during its sitting, last Thursday.
He warned that another extension would amount to a betrayal of public trust and a violation of Nigeria’s commitment to global health standards.
Ekpenyong said, “The harmful practice of putting alcohol in sachets makes it as easy to consume as sweets, even for children.
“It promotes addiction, impairs cognitive and psychomotor development and contributes to domestic violence, road accidents and other social vices.”
Senator Anthony Ani (Ebonyi South) said sachet-packaged alcohol had become a menace in communities and schools.
“These drinks are cheap, potent and easily accessible to minors. Every day we delay this ban, we endanger our children and destroy more futures,” he said.
Senate President, Godswill Akpabio, who presided over the session, ruled in favour of the motion after what he described as a “sober and urgent debate”.
Akpabio said “Any motion that concerns saving lives is urgent. If we don’t stop this extension, more Nigerians, especially the youth, will continue to be harmed. The Senate of the Federal Republic of Nigeria has spoken: by December 2025, sachet alcohol must become history.”
According to him, “This is not just about alcohol regulation. It is about safeguarding the mental and physical health of our people, protecting our children, and preserving the future of this nation.
“We cannot allow sachet alcohol to keep destroying lives under the guise of business.”
According to him, “This is not just about alcohol regulation. It is about safeguarding the mental and physical health of our people, protecting our children, and preserving the future of this nation.
“We cannot allow sachet alcohol to keep destroying lives under the guise of business.”
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