The Managing Director/Chief Executive of Nigeria Deposit Insurance Corporation (NDIC), Alhaji Umaru Ibrahim has expressed concern over the increasing wave of non-performing insider loans in various banks and its consequence on the stability of the nation’s banking system.
Alhaji Ibrahim expressed this concern while receiving the newly elected President and Chairman of Council of the Chartered Institute of Bankers of Nigeria (CIBN), Professor Segun Ajibola and some of his executive members who paid a courtesy call on the NDIC Senior Management in Abuja.
According to him, the development had posed credibility questions which were capable of eroding public confidence in the banking system.
He called for strict compliance with the existing code of conduct and a review of the existing laws and regulations to provide stiffer penalties for directors who take advantage of their positions and fail to pay back their loans.
The NDIC CEO observed that the situation in which casual staff accounted for about 25% of the banking industry workforce, had a negative impact on the industry.
Alhaji Ibrahim noted with concern the practice of some banks that assign sensitive roles to casual staff; thereby exposing the banking industry to cases of fraud and forgeries.
Speaking on the recent staff rationalisation embarked upon by banks, Alhaji Ibrahim urged the banks to exercise caution so as not to create industrial unrest in the industry.
He called on the CIBN to intervene by advising its members on the aim of the rationalisation which should be to weed out bad eggs from the industry.
The NDIC CEO emphasized that the Corporation would continue to partner with the CIBN and other professional bodies towards achieving effective capacity building among its staff.
Alhaji Ibrahim disclosed that 77 members of staff of the Corporation were currently undergoing the Bangor/CB MBA programme which commenced three years ago.
The Bangor/CB MBA programme is an initiative of the NDIC, the CIBN and the Bangor University, Scotland where staff of the Corporation undergo up to 24 months training programme and graduate with dual certification: an MBA and Chartered Banker of Scotland. Fourteen (14) members of staff had already graduated from the programme.
He further requested the CIBN to fast track the accreditation of the Corporation’s training academy and the introduction of the Deposit Insurance System (DIS) in the institute’s curricula in order to broaden the scope of professionalism in the banking industry.
In his response, the President/Chairman of Council of the Chartered Institute of Bankers of Nigeria (CIBN), Prof. Segun Ajibola, expressed the appreciation of the CIBN to the Corporation for positive contributions to the activities and programmes of the Institute and its support towards the establishment of the CIBN Bankers House in Abuja. Prof. Ajibola also commended the Corporation for its contribution in ensuring stability in the banking system.
The President/Chairman of Council of the CIBN assured the MD/CEO that the accreditation committee of the institute would soon visit the NDIC Academy.
He, however, appealed to the MD/CEO on the need for further collaboration with the institute on training and other issues of mutual interest. On staff casualization in the banks, Prof. Ajibola pledged to table the matter at the CIBN’s next meeting with banks’ CEOs with a view to addressing the issues.
He stated that efforts were being put in place by the CIBN to enhance the capacity of bank staff, particularly in credit administration.
Blame Customs for frustrating port operations- Amaechi
The Minister of Transportation, Rotimi Amaechi, has said the failure of the Nigeria Customs Service to connect to the National Single Window, a cross-government website for trade facilitation, is hindering the effective operation at the seaports.
He stated this in Lagos during the inauguration of a marine operation and surveillance centre at the Nigerian Ports Authority on Friday.
He said, “The Comptroller General of Customs has to agree for the Customs to be connected to the NSW to make our ports more effective. All we are doing now is manual; it will not last for long.
“Very soon, Nigerians will protest against the ports. People are already importing through the Benin Republic. Everyone has a single window. Niger that used to import things through Nigeria is doing so through another country. This is because we are charging both official and unofficial fees. Goods in Nigeria are too expensive.”
The NSW offers a single portal for all trade actors to access a full range of resources and standardised services from different Nigerian government agencies.
Amaechi, who expressed his pleasure at the current port operational system, noted that the development of the the Command, Control, Communications and Intelligence System facility began in 2013.
He said the aim was to provide business intelligence for the movement of vessels and cargoes, as well as providing secured communications within our waterways.
“This is one of the positive responses to the dynamics of port modernisation. The infrastructure comprises long and short range video surveillance monitoring systems, which are in line with the International Maritime Organisation conventions for the safety of life at sea.
“The development and installation of the CCCIS by the NPA will in no small way promote the rating of our ports by the IMO,” Amaechi added.
The Managing Director of the NPA, Ms Hadiza Usman, said the CCCIS had been developed to cover maritime activities in the six ports and four pilotage districts.
She said, “This project will incorporate other port automotive devices like the Vessel Traffic System and the Integrated Port Community Information System.
“The ultimate goal is to establish an automated single window system for the maritime industry. It will enable us to surmount security and safety challenges within our operations and the entire maritime domain in the Gulf of Guinea.”
Usman added that the NPA would in the future ensure collaboration amongst relevant agencies such as the Customs and the Nigerian Navy for the purpose of sharing information, documentation, as well as blocking revenue leakages.
