- published: 15 Aug 2014
- views: 2083
The Central Bank of Nigeria was established by the CBN Act of 1958 and commenced operations on July 1, 1959
The major regulatory objectives of the bank as stated in the CBN act of 1958 is to: maintain the external reserves of the country, promote monetary stability and a sound financial environment, and to act as a banker of last resort and financial adviser to the federal government. The central bank's role as lender of last resort and adviser to the federal government has sometimes pushed it into murky regulatory waters. After the end of imperial rule the desire of the government to become pro-active in the development of the economy became visible especially after the end of the Nigerian civil war, the bank followed the government's desire and took a determined effort to supplement any short falls in credit allocations to the real sector. The bank soon became involved in lending directly to consumers, contravening its original intention to work through commercial banks in activities involving consumer lending. However, the policy was an offspring of the indigenisation policy at the time. Nevertheless, the government through the central bank has been actively involved in building the nation's money and equity centers, forming securities regulatory board and introducing treasury instruments into the capital market.
The Federal Republic of Nigeria, commonly referred to as Nigeria i/naɪˈdʒɪəriə/, is a federal constitutional republic in West Africa, bordering Benin in the west, Chad and Cameroon in the east, and Niger in the north. Its coast in the south lies on the Gulf of Guinea in the Atlantic Ocean. It comprises 36 states and the Federal Capital Territory, where the capital, Abuja is located. Nigeria is officially a democratic secular country.
Modern-day Nigeria has been the site of numerous kingdoms and tribal states over the millennia. The modern state originated from British colonial rule beginning in the 19th century, and the merging of the Southern Nigeria Protectorate and Northern Nigeria Protectorate in 1914. The British set up administrative and legal structures whilst practising indirect rule through traditional chiefdoms. Nigeria became a formally independent federation in 1960, and plunged into a civil war from 1967 to 1970. It has since alternated between democratically-elected civilian governments and military dictatorships, until it achieved a stable democracy in 1999, with its 2011 presidential elections being viewed as the first to be conducted reasonably freely and fairly.
A central bank, reserve bank, or monetary authority is an institution that manages a state's currency, money supply, and interest rates. Central banks also usually oversee the commercial banking system of their respective countries. In contrast to a commercial bank, a central bank possesses a monopoly on increasing the monetary base in the state, and usually also prints the national currency, which usually serves as the state's legal tender.
The primary function of a central bank is to control the nation's money supply (monetary policy), through active duties such as managing interest rates, setting the reserve requirement, and acting as a lender of last resort to the banking sector during times of bank insolvency or financial crisis. Central banks usually also have supervisory powers, intended to prevent bank runs and to reduce the risk that commercial banks and other financial institutions engage in reckless or fraudulent behavior. Central banks in most developed nations are institutionally designed to be independent from political interference. Still, limited control by the executive and legislative bodies usually exists.
A short documentary about the Central Bank of Nigeria.
(www.abndigital.com) On Captains of Industry we speak to the man at the helm of Nigeria's Central Bank. Sanusi Lamido Sanusi was appointed as the Central Bank Governor back in June 2009. An Islamic scholar, Sanusi previously held the position of Group Chief Executive at First Bank of Nigeria.
The Central Bank of Nigeria (CBN) has mandated all commercial banks to be information security-certified by 2015. Tunde Lemo, deputy governor (Operations), stated this during conferment of ISO 27001 certificate to the CBN by the British Standards Institution (BSI). Also showing great admiration for the CBN attainment, Dr. Andrew Peacock, the UK High Commissioner described the achievement as one of the highest standards of information security management in the world. He also noted that it is a confidence building measure as well as a remarkable achievement. According to the Executive Director, Global InfoSwift (the firm which prepared the CBN and First Bank Nigeria for the Certification), Mr. Afolabi Oke: "We are indeed very proud to be part of the Central Bank of Nigeria's success story...
A sudden announcement by Nigeria's Central Bank has limited the flow of remittances to the country, to just 3 entities, Western Union, Moneygram and Ria. The decision now leaves millions of Nigerians abroad with limited options to send cash back home. It was only 3 days later that the Central Bank made a public explanation for its actions, arguing that it was partly triggered by quote, "unwholesome of some unlicensed international money transfer operators". When CCTV's Ramah Nyang spoke earlier to World Remit's Alix Murphy, and CCTV's Deji Badmus, it emerged that the CBN's other motive, is tapping into the over 20 billion U.S. dollars of remittances that flow into Nigeria.
The Central Bank of Nigeria (CBN) has banned the importation of all foreign currencies except with approval. This was contained in a statement signed by CBN Director of Corporate Communications, Mr Ugo Okoroafor, on Tuesday in Abuja. It said that the move was sequel to the Bank's withdrawal of the operating licence of 20 Bureaux de Change (BDCs). The CBN alleged that the BDCs purchased and sold huge sums of U.S. dollars with no documentation to show details of the transactions. The statement quoted the Deputy Governor, Economic Policy, Dr Sarah Alade, as saying that the CBN frowned at the existence of strong foreign exchange demand pressure from domestic sources. She said that the CBN had observed a surge in dollar cash importation by banks and the huge cash sales of the dollars to BDC...
Nigeria's central bank has announced a more flexible foreign currency policy. Last month the institution said it would move away from a peg of the naira currency per dollar but has not yet given any details. The bank's governor, Godwin Emefiele unveiled the new policies at a news conference. On Monday, President Muhammadu Buhari gave the move a thumbs up citing it will help improve the business environment. A slump in oil prices has dried up oil revenues on the official channels, knocking down the naira on the parallel market.
Nigeria has adopted a flexible foreign exchange rate policy signalling a policy U-turn as the country teeters on the brink of a recession. The move is expected to boost exports and attract foreign currency to an economy badly hurting from the low global prices of oil. Central Bank Governor Godwin Emefiele said that details of the new rules would be published in coming days.
The Central Bank of Nigeria says it's lifted the ban placed on nine commercial banks. The ban prevented the lenders from accessing forex through the official interbank forex market. The nine had been suspended for failing to remit funds belonging to the Nigeria National Petroleum Corporation. The ban created tension in the financial system, triggering a crash in the stocks of most of the indicted lenders. The foreign exchange market also reacted negatively with the naira slumping further on the parallel market to close at 420 to the dollar. Industry experts had appealed for leniency to avoid causing a run on the banks.
The Nigerian banking industry is once again in the spotlight following the sacking of the board of one of the country's commercial lenders, Skye Bank. Nigeria's Central Bank announced that it was taking over the lender after it failed to meet the deadline to recapitalize. The issue is now generating concerns about the overall health of Nigeria's banking sector.
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The Central Bank of Nigeria was established by the CBN Act of 1958 and commenced operations on July 1, 1959.
Speaking during the book launch of Ola Grace’ “Our Entrepreneurial Mandate,” Dr. Momah, Patricia Adaeze who works for Central Bank of Nigeria said, Youths can secure this loan by using their academic certificates and NYSC Certificate as collateral. She said, “if you have a good business proposal, you can apply on the Heritage Bank website. If your proposal is accepted by them, Central Bank will guarantee whatever they are going to give you. The interest is not that much, it is about 9%. Central Bank will do a lot to enhance and help the young people to tap into this entrepreneurship initiative.
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In a bid to reduce foreign exchange spending on food importation through enhanced funding for agriculture, the Central Bank of Nigeria (CBN) has approved funding for additional rice mills in the country. Meanwhile the Minister of Agriculture, Chief Audu Ogbeh has said that the federal government may soon stop importation of rice into the country given the increased rice production across the country facilitated by the CBN backed Anchor Borrowers’ Programme (ABP). The duo spoke in Awka, Anambra State, alongside, Governor of Anambra State, Chief Willie Obiano and Governor of Kebbi State, Alhaji Atiku Abubakar Bagudu while fielding questions from journalists during inspection tour of the 2,600 hectares rice plantation of Coscharis Farms. The rice plantation is one of the rice projects funde...
About Hope for Nigeria Online and downloads here: http://www.hopefornigeriaonline.com/ About this weeks episode: The Central Bank of Nigeria (CBN) on Wednesday unveiled the list of banks with the lowest and the highest lending rates, and called for transparency in the bank rates. WEBSITE & NEWSLETTER: • More Free information and updates here: About Hope for Nigeria Online and downloads here: http://www.hopefornigeriaonline.com/ About this weeks episode: WEBSITE & NEWSLETTER: • More Free information and updates here : http://www.hopefornigeriaonline.com/about-us/ • Subscribe to Hope for Nigeria Online Newsletter: http://www.hopefornigeriaonline.com/ SCHEDULE Hope for Nigeria Forum http://www.hopefornigeriaonline.com/forum/ Hope for Nigeria Videos http://www.hopefornigeriaon...
Dj Ali and Chief Julie Coker attended the Award Ceremony of the Governor of the Central Bank of Nigeria, Prof. Charles Soludo, which too place at the Dorchester Hotel, London.
World Press Conference by the Governor, Central Bank of Nigeria, Mr. Godwin Emefiele on June 5, 2014
Nigeria's Monetary Policy committee hiked the Monetary Policy Rate by 200 basis points to 14 per cent. The governor of the Central Bank of Nigeria (CBN), Mr Godwin Emefiele, made this known on Tuesday.
Henry Boyo, a noted economist has accused the Nigerian central bank of operating a "sustained" faulty monetary framework that is ruining Nigeria's economy. The economist has cited high interest rates, continuously depreciating currency, high rate of inflation, and high rate of smuggling as some of the factors forcing the economy to its knees. Among the 'sins' of the apex bank, according to Mr. Boyo, is its conversion of foreign exchange earnings in Dollars, to Naira, before sharing among the three arms of government. Among other solutions, Mr. Boyo has advocated the issuance of Dollar certificates to the arms of government as a veritable alternative. These and more in this special edition of The Agenda.
The Central Bank of Nigeria will keep its benchmark lending rate unchanged at a record high to bolster its foreign currency reserves and support the naira after oil prices fell last month.
Former Governor of the Central Bank of Nigeria, Professor Charles Soludo passionately called on President Muhammadu Buhari to release Nnamdi Kanu. Soludo was speaking during the presentation of a book titled “The Politics of Biafra and the future of Nigeria
No Bank Verification Number in Nigeria, No Bank Account. - Femi Oyenuga Femi Oyenuga talked on the importance of registering for the CBN Bank Verification Number(BVN) 60 minutes with Angela