The Central Bank of Nigeria has assured the public that the Nigerian banking industry is resilient, noting that banks’ financial soundness indicators were within the regulatory thresholds as captured in the CBN’s most recent Economic Report of 2023.
In a statement named “CBN Assures That Nigerian Banks Remain Resilient” signed by the bank’s Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, it was mentioned that reports about Nigerian banks failing the Capital Adequacy Ratio (CAR) stress test for international authorization should be ignored.
“The attention of the Central Bank of Nigeria (CBN) has been drawn to reports in some media outlets suggesting that some licensed commercial banks in the country had failed the CBN’s Capital Adequacy Ratio (CAR) for international authorisation.”
“We wish to clarify that the Nigerian banking industry remains resilient as key financial soundness indicators were within the regulatory thresholds as captured in the CBN’s most recent Economic Report of 2023.”
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“Furthermore, the CBN is engaging with various critical stakeholders to sustain the level of confidence in the Nigerian financial sector.”
“We, therefore, appeal to Nigerians to disregard the media reports listing banks as failing the Capital Adequacy Ratio (CAR) stress test for international authorisation as the report did not emanate from the Central Bank of Nigeria (CBN).”
Some news platforms had earlier reported that some Nigerian banks had failed a Capital Adequacy Ratio stress test which was conducted by the CBN recently.
This caused the CBN to react as the report had generated quite an amount of panic among the public.
The series of events was initiated by the address delivered by the CBN Governor during the 58th CIBN Annual Dinner, wherein he unveiled considerations for a recapitalization initiative for Nigerian banks.