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New Oceanic MD, Aboh assures customers of safety of deposits

The new Managing  Director and Chief Executive of Oceanic Bank International Plc, Mr. John Aboh has assured customers of the bank that with the injection of N100 billion by the CBN, the bank  has addressed its liquidity gap. He also added that this would help the bank meet all its financial obligations noting that the bank is now safe and sound.

The apex bank, last weekend announced the change in leadership of five commercial banks including Oceanic Bank which saw the exit of Dr Mrs Cecilia Ibru as the managing director and chief executive.

The apex bank’s intervention, according to the new Chief Executive, is to stabilize the bank by easing the existing liquidity constraints, and embark on aggressive loan recovery as well as grow the business.
The injection of fresh funds followed the pattern in Europe and America. In the United Kingdom, at the peak of the global financial meltdown, the Northern Rock Bank received a liquidity support facility from the apex Bank of England following problems in the credit markets caused by the US sub-prime mortgage financial crisis.

Assuring staff of the bank, Aboh said the Board of the bank is not dissolved, as the chairman and all non-executive directors still remain in office. He then reassured that there was no need to fear. “There is no need to panic,” he said. Oceanic Bank’s first half year results approved by the CBN showed an upward swing in its gross earnings. Within the six months of operations in 2009, Oceanic Bank, it would be recalled, posted gross earnings of N92.8 billion, as against N66.5 billion realised in the corresponding period of 2008, representing 40 per cent growth in earnings. While the bank made N16.6 billion profit before tax, its profit after tax stood at N14.4 billion.

The bank’s gross earnings for the year ended December 30, 2008, hit N188.22 billion, a 152 per cent growth or N113.28 billion over N74.94 billion posted at the preceding full financial year as total asset base equally recorded tremendous growth to N1.26 trillion from N1.01 trillion of the preceding year.

The breathtaking financials of the bank saw it recording superlative performance in all major performance indicators.  From turnover to profitability and also returns on capital employed funds, the indicators showed impressive growth over the previous years’ while consolidating Oceanic Bank’s position in the league of top three banks in the banking sector. The bank’s total equity during the 2008 financial year rose to N244 billion as against N233 billion recorded in 2007.

Chairman of the bank Apostle Hayford Alile, while speaking on the bank’s performances had said the high turnover and profitability were the manifestation of strategies put in place by the bank to take it to a greater height.


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