Heritage Bank: No Plans To Withdraw Licenses Of Three Banks, Says CBN

Posted by African Examiner Business News, Featured, Latest Headlines Wednesday, June 5th, 2024

(AFRICAN EXAMINER) – The Central Bank of Nigeria (CBN) says there are no plans to withdraw the licenses of three banks.

A press statement by the banks Acting Director of Corporate Communications, Haka Sidi-Ali, said, “The attention of the Central Bank of Nigeria (CBN) has been drawn to some information circulating in the public domain, suggesting that the CBN is set to revoke the licenses of three additional banks following its regulatory action against Heritage Bank Plcon Monday, June 3, 2024.

“The CBN unequivocally states that these allegations are false and intended to trigger panic in the financial system.

“The Nigerian financial system remains safe, sound, and resilient. Our banks have begun submitting implementation plans for the Banking Sector Recapitalisation Programme in compliance with the CBN Circular reviewing the minimum capital requirements for Commercial, Merchant, and Non-Interest Banks (CMNIBs). These plans are currently being reviewed by the Bank.”

The statement added that in addition to enhancing buffers to withstand economic shocks, the proactive measure by the CBN to require commercial banks to recapitalise will result in increased capital for Nigeria’s banks, enabling them to provide much-needed credit to critical sectors of the economy.

The expected outcome, according to the apex bank, will increase the financial system’s contribution to the growth and development of a $1 trillion Nigerian economy.

The CBN also assured Nigerians of its unwavering commitment to ensuring the financial system’s stability.