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We’re restarting Afribank on path of growth — GMD

Lagos—The Group Managing Director/Chief Executive Officer, Afribank Nigeria Plc, Mr. Nebolisa Arah said yesterday that the bank was not planning any retrenchment of staff or contemplating any salary cut of its staff.

He stated this at the Corporate Office of Vanguard when he paid a courtesy visit to the Editor Mr. Mideno Bayagbon.

Unlike what is going on in some of the troubled banks Mr. Arah said that the bank was retaining its current staff strength noting that Afribank was not under any pressure to lay off staff.
He disclosed that the bank’s new management is set to restart the bank on the path of growth and improved performance.

Arah in a statement titled “Restarting Afribank Nigeria Plc” said “we are restating the financial facts with transparency and to show the impact of previous misjudgments in investment and lending policy, corporate governance and risk management.” We are with the emergence of our new management team restarting Afribank on the path to growth.”

On the measures taken to ensure a smooth sail towards the path of growth, Arah said that, “We have carried out a comprehensive review of our operations and structure to address the issues that the bank had faced. Our focus on this review process among other goals is on maintaining an enhanced liquidity position, implementing an improved risk management framework and control environment.”

The review process he added focuses on “putting in place better internal reporting procedures to minimize the risk of any reoccurrence of the situation we recently experienced and we are actively seeking the repayment of outstanding loans.”

Highlighting the already accruing success from the various review processes, the bank’s boss stated that, “The turnaround management in Afribank in the last three months is already showing results; for example we have repaid over N11 billion of exposures on the Expanded Discount Window which amount represents over 50% of
Afribank’s exposure before the August 14 intervention”.

“A positive clearing position of N3.2 billion surplus was recorded as at November 30 this year as against the initial substantial deficit the bank had. Improved efficiency via outsourcing mechanism that will bring about cost savings of over N1 billion per annum is being introduced.

While the new technology infrastructure upgrade to enhance competitiveness is due to start by January 2010”.


Comments expressed here do not reflect the opinions of vanguard newspapers or any employee thereof.