The Banks

[hispy99]

Banks' CEOs' tenure: Heart of the matter

Operator calls for tenure limits for non-EDs of banks

[hispy99]

One story is true and the other one is not

CBN limits bank MDs, boards’ loan approval
"The new arrangement, to be followed strictly by banks, is that credit approval by the boards is from N101 million and above while Board Credit Committees are now limited to grant approval of between N51m and N100m."


No Limit to Shareholding in Banks - CBN
"The CBN also refuted a publication that it has approved limits to credits by the Board of banks.“The CBN has not and will not impose approval limits for banks and discount houses as those are matters of discretion for the Boards and Management of those institutions.

[hispy99]

Banking reform should be relevant to real sector - Analysts

[pegheneji]

Originally Posted by hispy99

CBN weighs four options for troubled banks' capital

confusion break e bone, na double wahala for dead body and the owner of dead body. i wish the CBN gov. goodluck. if he had the option of capital injection in the first place why did he not give them the Unity bank treatment rether than destoring their value with his demarketing?

[hispy99]

Unwillingness to lend outside inter bank gives false liquidity impression

[hispy99]

BOFIA: CBN Seeks More Powers over Banks

[pegheneji]

http://www.proshareng.com/news/singleNews.php?id=9156
CBN Softpedals On Banks' Takeover, Meets Shareholders

The major problem cited was inadequate legal backing for any such acquisition and safety of the investments, against the background of the legal controversy surrounding CBN's intervention in the affected banks.



This development may have made the CBN hold back on its plan to publish last month the guideline on acquisition of the banks, as its governor, Mallam Sanusi Lamido Sanusi, had promised late last year.

Close observers of the new developments say this may have necessitated the use of the Economic and Financial Crimes Commission (EFCC) and other agencies to force the original owners of the banks to back down on their tough stance against a forceful takeover of their bank by either the CBN or any investor appointed by it.
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However, sources close to the apex bank hinted that the CBN has initiated dialogue with the original owners of the banks to find a common ground for a resolution of the seeming logjam.

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The most problematic among the banks are Intercontinental and Oceanic.
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However, even the liquidation option was also said to be ''toxic,' since it will lead to some other serious consequences for the entire economy.
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third option- recapitalisation by the owners- have also run into serious problem, as the owners are now arguing that CBN's intervention has worsened the financial health of their banks, making recapitalisation a near impossibility, a situation that also made acquisition a difficult option even without legal huddles

CBN is believed to be back to the drawing board on other options to save the situation.


Question:
would it not have been beneficial to all if the option of recapitalisation, like the case of unity bank was considered from the begining?

[pumping]

Originally Posted by pegheneji

http://www.proshareng.com/news/singleNews.php?id=9156
CBN Softpedals On Banks' Takeover, Meets Shareholders


Question:
would it not have been beneficial to all if the option of recapitalisation, like the case of unity bank was considered from the begining?

To your question, Unity Bank did not have liquidity or corporate governance issues according to the CBN. Their situation may then be considered to be very different from that of the other banks.

I don't know about this soft pedaling by the CBN. I know for a fact that the CBN also approached the house this week requesting additional powers to enable it carry out the planned action on the banks.

http://www.proshareng.com/news/singleNews.php?id=9151

[hispy99]

Banks: ‘Limitation of tenure won’t reduce governance abuse’

[hispy99]

Common year-end results may further expose weak banks –Analysts

[pumping]

http://www.proshareng.com/news/singleNews.php?id=9185

European Bank may buy into Nigerian banks

[eniyanman]

Vanguard News Online

This seems to be a big endorsement for the reforms! Fortune favours the brave!!

[pumping]

Originally Posted by eniyanman

Vanguard News Online

This seems to be a big endorsement for the reforms! Fortune favours the brave!!

The action has started....possibly another session of volatility for bank stocks...

[hispy99]

Originally Posted by pumping

The action has started....possibly another session of volatility for bank stocks...

hmmm, maybe this is the positioning Waaan5 was alluding too...hmmmmm

[pumping]

Originally Posted by hispy99

hmmm, maybe this is the positioning Waaan5 was alluding too...hmmmmm

It could be. The interesting thing is that even Spring Bank lost steam today.

[hispy99]

Banks Not Afraid of Downstream Risks – First Bank

Investors Flay Banking Reforms

[hispy99]

World Bank to help Nigeria raise asset firm

[hispy99]

INTERVIEW-Nigeria ratings agency sees bank profit recovery | News by Country | Reuters

[waaan5]

Originally Posted by pumping

It could be. The interesting thing is that even Spring Bank lost steam today.

Do watch the space. I would be VERY surprised if Spring looses for four consecutive days.

[waaan5]

Originally Posted by waaan5

Do watch the space. I would be VERY surprised is Spring looses for four consecutive days.

I still believe that the banks is where a lot of speculative money would be made between now and first week of march.