News Highlights:
- The Central Bank of Nigeria (CBN) has reassured the public that all deposits in financial institutions are secure and has implemented policies to ensure the stability of the banking system.
- The CBN highlighted its proactive measures, including stress testing, Early Warning Systems, and a Risk-Based Supervision approach.
The Central Bank of Nigeria (CBN) has reassured Nigerians that there is no need for concern, as it has implemented policies to safeguard all funds deposited in financial institutions nationwide.
In a statement on Tuesday, the Acting Director of Corporate Communications at the Central Bank, Hakama Ali, reassured the public of the bank’s unwavering commitment to maintaining the stability and reliability of Nigeria’s financial system.
Digital TimesNG understands that this development follows a new wave of concern across the country on Monday, after warnings were issued to customers of certain banks to immediately withdraw their deposits, due to the CBN’s revocation of those banks’ licenses.
“The CBN actively ensures that banks adhere to established regulations and best practices to maintain the integrity of our financial system. Regular stress testing is conducted to identify potential vulnerabilities, helping to ensure that our financial institutions are resilient.
“In addition, the CBN has implemented Early Warning Systems that proactively detect and address emerging risks, allowing us to provide timely solutions to any foreseen issues.
“The Bank’s approach to Risk-Based Supervision ensures that it focuses its regulatory efforts on institutions that may pose the highest risk to the financial system. This targeted strategy allows it to maintain a robust oversight mechanism while promoting the overall health of the banking sector,” the statement read.
Additionally, the CBN stated that it has established Memoranda of Understanding with the various countries hosting subsidiaries of Nigerian banks.
“This collaboration enhances regulatory coordination and ensures that our banks operate within a safe and sound framework in accordance with banking regulations, both domestically and internationally.
“The CBN remains dedicated to fostering a secure banking environment where depositors can be fully confident in the safety of their funds. It will continue to monitor and adapt strategies to safeguard the financial interests of all Nigerians and stakeholders in our financial system,” the statement added.
