By Emeka Okoroanyanwu
Central Bank of Nigeria, CBN, has again reaffirmed the safety and stability of Nigeria’s financial system, debunking what it called false allegations being levelled against the Guarantee Trust Company Plc, the holding firm of Guarantee Trust Bank and its executive management by those it described as faceless and unqualified people.
In a press release issued today in Abuja and signed by its Acting Director, Corporate Communications, Hakama Sidi Ali, the CBN reassured the Nigerian public of the safety of their deposits with banks in the country.
The CBN said it recognises the crucial role that confidence plays in banking operations and wants to affirm that all deposits in Nigerian banks are secure.
The apex bank said, “The CBN actively ensures that banks adhere to established regulations and best practices to maintain the integrity of our financial system,” the statement noted.
The Bank noted that regular stress testing is conducted regularly in banks to identify potential vulnerabilities, helping to ensure that financial institutions are resilient, adding that the CBN has implemented early warning systems that proactively detect and address emerging risks, while allowing it to provide timely solutions to any foreseen issues. The statement said the apex 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, it said, allows it to maintain a robust oversight mechanism while promoting the overall health of the banking sector.
The CBN statement disclosed that it has also established Memoranda of Understanding with the various countries where Nigerian banks’ subsidiaries are located, adding that such collaboration enhances regulatory coordination and ensures that Nigerian banks operate within a safe and sound framework in accordance with banking regulations, both domestically and internationally.
The CBN announced its dedication to fostering a secure banking environment where depositors can be fully confident in the safety of their funds, saying it would continue to monitor and adapt strategies to safeguard the financial interests of all Nigerians and stakeholders in the financial system.
The apex bank was reacting to a video circulating in the Social Media which alleged that Guarantee Trust Bank was engaged in some unwholesome banking practices.
