In response to recent speculations about the stability of several Nigerian banks following the revocation of Heritage Bank Plc’s license, the Central Bank of Nigeria (CBN) has once again assured the public of the safety of their deposits and the resilience of the nation’s banking system.
Addressing these concerns, Mrs. Hakama Sidi Ali, Acting Director of the Corporate Communications Department at the CBN, refuted claims that the Bank was considering revoking the operating licenses of Fidelity, Polaris, Wema, and Unity Banks.
She also clarified the misinterpretation of a circular issued by the Bank on January 10, 2024, which announced the dissolution of the Boards of Union, Keystone, and Polaris Banks.
This circular, she noted, is currently being misrepresented as though it was issued on June 10, 2024.
In a chat with newsmen on Monday, June 10, 2024, Mrs. Sidi Ali emphasized that the situation with Heritage Bank was an isolated incident. She stated that rumors of further license revocations prior to the completion of the bank recapitalization exercise were baseless fabrications aimed at inciting panic within the financial system.
“Customers, particularly those of Heritage Bank, need not worry about the safety of their deposits,” said Mrs. Sidi Ali. She further assured that the Nigeria Deposit Insurance Corporation (NDIC) had already commenced payment to the bank’s insured depositors.
Mrs. Sidi Ali 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’s robust regulatory framework proactively ensures the stability of Nigeria’s financial system, thereby guaranteeing the safety of depositors’ funds in all Nigerian financial institutions.
Reiterating the assurances of the CBN Governor, Olayemi Cardoso, Mrs. Sidi Ali highlighted that the ongoing recapitalization of banks in Nigeria is intended to bolster the banking system and safeguard the sector against risks. She called on all stakeholders to support the process, noting that it is essential for the overall growth of the Nigerian economy.
“Without prejudice to the ongoing recapitalization process, I want to restate that the Nigerian banking industry remains resilient. Key financial soundness indicators remain within current regulatory thresholds,” Mrs. Sidi Ali stated.
She encouraged customers to proceed with their transactions as usual, reiterating the CBN’s commitment to ensuring the safety of the banking system.
