Renovated with your hard-earned money – not sure, if your money was part of the construction – TMB is appealing. You can drive 120 kilometres per hour on the bridge. Unlike the Formula 1 racetrack, TMB is not endless. Reason the state government has installed – I counted eight cameras – attached to the road furniture. The cameras will deter you from going above the speed limit. If you go over, you are from OYO state. Aside from the cameras, security measures, visible road markings, and solar bulbs will give you comfort whenever you use TMB.
Polaris Bank is also a bridge. What does this mean to you? The Central Bank of Nigeria (CBN) created Polaris Bank. Individuals created other banks. Polaris Bank is a publicly backed bank by the Nigeria Deposit Insurance Corporation (NDIC). What does it mean? Your money is safe. Polaris Bank is safe. In the United States of America, the financial regulator protects the bridge bank to avoid system risk. To provide an orderly transition devoid of negative effects.
On the other hand
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As a bridge bank, Polaris Bank is a strategic institution in the sector. As a CBN intervention, N898 billion was injected into Polaris Bank. The fund injection has a future value of N1.305 trillion. And this will be repaid in 25 years. The action of the CBN has: Prevented the imminent collapse of the bank. Enabled its stabilisation. Led to its recovery. Protected its depositors’ funds. Prevented job losses. Preserved systemic financial stability. Ensured sound corporate governance. Besides, Polaris Bank has been running and is not tired since 2018. Yes, Polaris Bank is a going concern.
In the long term
The saga of the bank that lost its heritage is still fresh. As an addendum, some mischief-makers cited Polaris Bank, Fidelity Bank, Wema Bank, and Unity Bank – as banks that will walk Heritage’s path. Spurious claims were re-circulated purportedly issued by the CBN on January 10, 2024. It notified the public of the dissolution of Polaris Bank, Union Bank and Keystone Bank. The circular was not issued on June 10, 2024.
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This came after the CBN had insisted that the Heritage Bank’s case was an isolated one. The apex bank added that allegations of further revocation of bank licenses before the completion of the bank recapitalisation exercise were fabrications of those who did not wish the banking sector well.
Anyway, Strategic Capital Investment Limited, the new core investor of Polaris Bank, has completed a Share Purchase Agreement (SPA). It will recapitalise the bank. Remember, Polaris Bank has a war chest of N1.3 trillion injected into it. The CBN has received an immediate return for the value it has created in Polaris Bank during the stabilisation period.
The managing director and CEO of Polaris Bank, Kayode Lawal, reiterated the vision of the bank. ‘’The new management will develop an innovative but sustainable growth strategy that prioritises the needs and aspirations of our current customers.’’
In the short term
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Polaris Bank is for the future. It is committed to delivering industry-defining digital products like VULTe and others across all sectors of the economy. Like TMB, Polaris Bank is here to give your money the smoothest ride. No speed limit!
Olaegbe is the pioneer editor of Pan-African, FinancialTechnology magazine and can be reached via: [email protected]; @RarzackO_
