The Central Bank of Nigeria (CBN) is mulling fresh recapitalization programme for the banking sector. This is coming 14 years after the major reform by ex-governor of the regulatory bank, Charles Soludo.
Godwin Emefiele, who unveiled his five-year roadmap for the CBN on Monday said the recapitalisation process to be carried out within the next five years was to make the banking industry contribute significantly to country’s economic growth.
“In the next five years, we intend to pursue a program of recapitalising the Banking Industry so as to position Nigerian banks among the top 500 in the world.
“Banks will therefore be required to maintain higher level of capital, as well as liquid assets in order to reduce the impact of an economic crisis on the financial system,” Emefiele said.
He said the apex bank will work with the industry players within the period of his tenure as the governor of the Central Bank of Nigeria (CBN) to boost credit to the real sector as well as the creative and education sector.
Emefiele also promised to sustain the bank’s intervention in the critical sectors of the economy to discourage smuggling and boost local productions of goods and services.
He said the apex bank target a double-digit growth for the economy while lowering inflationary growth to a single digit.
He said the bank will leverage on low inflation rate while sustaining positive interest rate regime and ensure foreign exchange stability in the economy.