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NBCC frowns at CBN’s approach to banking reform

By Naomi Uzor
The Nigerian-British Chamber of Commerce (NBCC) has lamented over the approach of the Central Bank of Nigeria (CBN) at the ongoing banking reform saying that the mode of delivery have heated the economy and has caused panic and in some cases made banks to stop lending.

Speaking at the 31st  Annual general meeting of the body at the Golden Gate Restaurant, the President of the NBCC, Mr Akinola Akintude said “he agrees with the message and the messenger and even the presumption applied, but differ with the mode of delivery.

“The mode of delivery have heated the economy and has caused panic and in some cases made banks to stop lending according to media report. It has created difficulties for business people who sometimes rely on banks for their working capital.  Media report have it that some banks threaten borrowers with the Economic and Financial Crimes Commission even for performing loans” he stated.

According to him, a more and acceptable approach would have been for the CBN to give target of loan recovery to the bank chiefs, restrict their movement during the period and later ask them to resign, adding that  CBN bank examiners cannot claim ignorance of the state of affairs of the banks and the lifestyles of their helmsmen.

Presenting the account of the chamber by the honourable treasurer, Chief Fola Osibo, said income from the annual subscription for the year under review (12 months) was N 10,959,000 as against N 16,363,000 for the 18 months ended 31st December, 2007.

Furthermore he disclosed that the enrolment fees in the period amounted to N 261,000 while surplus on various programmes was N 3,999,227 as against N 1,967,544 recorded in the previous year.

“The increase was due to effective participation of members in chambers programme as well as active support received on sponsorship of these programmes. Investment income was N 1,904,00 and sundry income was N 600,000.  On the expenditure side, the council tried as much as possible to keep expenses to a manageable level. total expenditure for the period was N 20,999,870 as against N 24,850,705 in 2007″ he explained.

He urged members who are indebted to the chamber on annual subscription and other fees to please pay up their dues, adding that if dues are paid promptly that it will enhance the financial status of the chamber.


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