Nigeria Deposit Insurance Corporation, NDIC, has commended the efforts of the Lagos State Chapter of the National Association of Microfinance Banks, NAMBLag, in partnership with Buklamd Global Ventures, BGV, Nigeria Limited, to enhance the preparation of MFBs for enhanced bank examination.
Director, Special Insured Institutions Department, SIID, NDIC, Mr Joshua Etopidiok, gave this commendation while speaking at one-day capacity building workshop titled: “Understanding Regulatory Requirements in Bank Examination”, organised by NAMBLag, in partnership with Buklamd Global Ventures.
Etopidiok who was represented at the occasion stated: “Your effort must be commended, NDIC support is in support of the training which would help get a broader understanding of the regulatory guideline. This training is coming at the right time, examiners want the bank to survive and grow, we expect a better relationship with regulators after this training,” he said.
Facilitators at the workshop include Former Examiner, Central Bank of Nigeria, CBN, Mr Kola Durojaye; Former Examiner Nigeria Deposit Insurance Corporation, NDIC, Mr Olalekan Jinadu; Managing Director/Chief Executive, Infinity MfB, Mrs Clara Oloniniyi; among others.
Speaking at the workshop, Olalekan Jinadu said that regulatory requirements are complex while describing it as a standard that is set requiring action.
He said: “Regulatory requirements are complex, it is like setting a standard and expecting action, so when you are taking the butts, to ensure compliance, there are lots of challenges. The challenges are not in having the numbers in terms of requirements that you need, but also, the skill set that is required to ensure compliance is also a challenge.
“The environment is not helping matters, knowing that you have to combine, supervision, regulation and profit making. You want to meet the expectation of your shareholders, all the stakeholders, including regulators, so it is a big challenge.
“Training and retraining to build capacity help to upscale the skill of staff in order to meet the expectation of the regulator,” he said.
In his remark, Chairman, NAMBLag, Mr Omololu Fatunbi, said that information helps to make a bank healthy.
Fatunbi stated: “Training is what we are known for, we are active capacity builders. Training is key for us, for a bank to be healthy, you must be well informed, if your bank is doing well and your books are good, you will have people coming to do business with you but if your books are untidy, nobody wants to talk to you. The training is timely. We expect knowledge addition that would translate in their business and improve their business pattern,” he said.
On her part, Founder BGV, Mrs. Osifeso Kehinde, said that it partnered with NAMBLag to have wider coverage of MfBs who would be part of the programme.
“We are a management consultant, for MfB, primary mortgage institutions; we do visibility study for organisations. We want them to attend the programme so that they can understand how they can go about their operational activities and be able to make a profit and be able to meet regulatory requirements and manage the depositor’s fund in their bank. Some do not know how to manage MfBs that is why some close down.
“We want them to understand the bane of credit administration and how to be more proactive to meet up with the regulatory requirements during the course the examination,” she said.