The Association of Corporate & Marketing Communication Professionals of Banks (ACAMB) has expressed strong confidence in the Nigerian banking sector’s readiness to meet the upcoming recapitalization requirements mandated by the Central Bank of Nigeria (CBN).
The assurance by the ACAMB follows the release of a much-anticipated circular detailing the recapitalization process.
ACAMB, a pivotal player in Nigeria’s banking sector, welcomed the CBN’s detailed circular, which outlines the review of minimum capital requirements for commercial, merchant, and non-interest banks over the next 24 months.
The association, alongside other key stakeholders, expressed robust support for the initiative, emphasizing its potential to enhance the growth and stability of Nigerian banks.
Speaking at the 2024 ACAMB stakeholders conference, Rasheed Bolarinwa, the association’s president, highlighted the essential role banks play in financial intermediation, crucial for Nigeria’s aspirations to become a global emerging economy.
He noted that the new minimum capital base requirements, now defined as the sum of share capital and share premium, signify a shift aimed at strengthening the banks’ capacities to meet both domestic and international financial needs.
“The Nigerian capital market has the depth to meet the banks’ capital requirements,” Bolarinwa stated.
He added that the extended timeline until 2026 provides ample opportunity for banks to align with the new recapitalization plans without overwhelming the market.
ACAMB emphasized its commitment to working closely with the CBN throughout the recapitalization process.
The association says it plans to engage all stakeholders to ensure balanced and factual representation, to facilitate a smooth and effective implementation of the recapitalization program.
Bolarinwa reassured depositors and shareholders, noting that the recapitalization is designed to strengthen the banking sector and enhance its ability to support the Nigerian economy.
“All facts point to a win-win for Nigerian banks, the financial market, and the economy under this recapitalization,” he said.
On his part, Professor Olanrewaju Pius Oladeji, President of the Chartered Institute of Bankers of Nigeria (CIBN), praised ACAMB members for their critical role in communicating banks’ values and driving their perception and long-term reputation.
He also stated that this year’s theme, “Building Bridges: Collaborative Solutions for a Trusted Banking and Financial Services Experience,” is essential for fostering trust and stability in the banking sector.
