CBN Reassures Public About Safety Of Their Bank Deposits

  • Counters Claim of More Licence Revocation

The Central Bank of Nigeria (CBN) on Monday, June 10, 2024, reassured the public of the safety of their bank deposits and the banking system’s resilience in the country.

The CBN gave the assurance following claims in certain quarters about the stability of some Nigerian banks in the wake of Heritage Bank Plc’s license revocation.

Contrary to insinuations in some quarters, the CBN’s Acting Director of the Corporate Communications Department, Mrs Hakama Sidi Ali, faulted claims that there plans are underway to revoke the operating licences of Fidelity, Polaris, Wema, and Unity Banks.

Sidi Ali explained that a circular issued by the Bank on January 10, 2024, notifying the public about the dissolution of the Boards of Union, Keystone, and Polaris Banks, is currently being circulated as though it was issued on June 10, 2024.

Mrs. Sidi Ali told journalists that Heritage’s case was isolated, adding that allegations of further revocation of licences prior to the completion of the bank recapitalisation exercise were mere fabrications aimed at creating panic within the system.

She said customers, particularly those of Heritage Bank, need not worry about the safety of their deposits, adding that the Nigeria Deposit Insurance Corporation (NDIC) had commenced payment to the bank’s insured depositors.

Mrs. Sidi Ali, therefore, urged the public to continue their regular banking activities without concern, dismissing any false reports regarding the health of specific Deposit Money Banks.

She confirmed that the CBN, with its robust regulatory framework, is proactively ensuring the stability of Nigeria’s financial system, thereby guaranteeing the safety of depositors’ funds in all Nigerian financial institutions.

While reiterating the assurances of the Governor (Olayemi Cardoso) that the recapitalisation of banks in Nigeria was intended to bolster the banking system and safeguard the sector against risks, Sidi Ali urged all stakeholders to cooperate in ensuring the success of the process, which she noted would be for the overall growth of the Nigerian economy.

“Without prejudice to the ongoing recapitalisation process, I want to restate that the Nigerian banking industry remains resilient. Key financial soundness indicators remain within current regulatory thresholds.

“Customers are, therefore, encouraged to proceed with their transactions as usual, as the CBN is committed to ensuring the safety of the banking system,” she added.

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