The Central Bank of Nigeria (CBN) has reassured depositors of the safety of their funds in commercial banks.
The CBN gave the reassurance on Tuesday morning in a circular dated October 8, 2024 and signed by its Ag. Director, Corporate Communications, Sidi Ali Hakama.
“The Central Bank of Nigeria (CBN) wishes to reassure the public of its unwavering commitment to ensuring the stability and reliability of the Nigerian financial system,” Hakama said.
“The CBN recognises the crucial role that confidence plays in banking operations and wants to affirm that all deposits in Nigerian banks are secure.
“The CBN actively ensures that banks adhere to established regulations and best practices to maintain the integrity of our financial system.
“Regular stress testing is conducted to identify potential vulnerabilities, helping to ensure that our financial institutions are resilient.”
In addition, Hakama said the CBN has implemented Early Warning Systems (EWS) that proactively detect and address emerging risks, allowing it to provide timely solutions to any foreseen issues.
She said that the bank’s approach to risk-based supervision ensures that it focuses its regulatory efforts on institutions that may pose the highest risk to the financial system.
According to her, this targeted strategy allows the Apex Bank to maintain a robust oversight mechanism while promoting the overall health of the banking sector.
Furthermore, Hakama said the Apex Bank has established Memoranda of Understanding (MoU) with the various countries where Nigerian banks’ subsidiaries are located.
She explained that this collaboration enhances regulatory coordination and ensures that Nigerian banks operate within a safe and sound framework in accordance with banking regulations both domestically and internationally.
“The CBN remains dedicated to fostering a secure banking environment where depositors can be fully confident in the safety of their funds,” Hakama said.
“It will continue to monitor and adapt strategies to safeguard the financial interests of all Nigerians and stakeholders in our financial system.”
