CIBN to senate: Amend institute’s Act to ensure accountability in banking sector

Ken Opara, president of the Chartered Institute of Bankers of Nigeria (CIBN), has urged the senate to amend the institute’s Act to ensure accountability in the industry.

Opara, who spoke recently when he led the institute’s executive team to the senate, said if the CIBN Act is amended, everyone working in the banking sector will be held accountable for misconduct or financial crimes.

“In the current amendment, we want to capture everyone working in the banking industry in Nigeria for the purpose of upholding ethics and professionalism CBN, NDIC, and banks are to send reports of allegations of misconduct to the Institute,” he said.

Opara also said one of the plans of the institute is to expand its name and coverage.

“The expansion of the institute’s name to include ‘Finance’ to conform to the Institute’s coverage and best practice: ‘Chartered Institute of Banking and Financial Services’. Section 1 to cover institutions under the regulation of CBN, especially non conventional banks,” he said.

Opara also commended the dynamic leadership of Mukhail Abiru, chairman of the senate committee on banking, insurance, and other financial institutions.

Specifically, he lauded the informed questions and economic issues Abiru raised during the engagement session with Olayemi Cardoso, governor of the Central Bank of Nigeria (CBN).

“The engagements you had and the issues you raised such as Inflation, FX, IMTO and the clarification on the 43 banned items are all issues of interest to the banking public,” Opara said.

“We also commend you on the proactive steps taken by this committee to comprehensively review the extant laws within the financial services sector, aimed at fostering economic sustainability and growth.”

Responding, Abiru assured the CIBN executives of the cooperation of the national assembly, particularly the senate, in ensuring that rules and best practices are adhered to in the nation’s banking sector.

“As the umbrella professional body for bankers in Nigeria, we consider you partners in progress in the task of repositioning the country’s financial sector and achieving the eight-point agenda of the present administration which revolves around the welfare of the people,” the committee chairman said.

While commending the CIBN for upholding professional excellence in the financial services sector, he expressed concern sector’s poor contribution to the country’s gross domestic product (GDP) which the lawmaker said is less than 5 percent, despite growth and increase in the share prices of the financial institutions.

Abiru, therefore, challenged the body and other stakeholders, to improve the contribution of the banking sector to the nation’s gross domestic product GDP.

Commending the move by the CBN to recapitalise the banks, Abiru said with an increased capital base, the banks will not only be able to finance large-ticket projects, invest in information technology with a view to modernising their operations, but also be positioned to compete in the global scene.