‘Banks Remain Safe’ — CIBN Assures Nigerians After Heritage Bank Shutdown

The Chartered Institute of Bankers of Nigeria (CIBN) has explained that the country’s banking system remains safe, sound and resilient.

Pius Olanrewaju, president and chairman of CIBN, gave the assurance to Nigerians in a statement on Wednesday.

“We would like to allay the fears of bank customers and the generality of the public that the assertion is false and misleading,” Olanrewaju said.

“The Central Bank of Nigeria (CBN) and the Nigeria Deposit Insurance Corporation (NDIC) have debunked the claim.

“The ongoing recapitalisation process announced by the CBN is also aimed at further strengthening the resilience of the Nigerian banks and their capacity to support the envisaged growth of the Nigerian economy.

“Consequently, we urge the public to continue to conduct their banking services without hesitation or apprehension.”

As the umbrella professional body for banks and bankers in Nigeria, Olarenwaju said CIBN is working with other stakeholders in the ecosystem.

He said the institute is committed to promoting best practices and ensuring Nigeria’s banking sector remains safe and sound.

CIBN’s statement is coming following claims that the banking licences of more banks would be revoked after the regulatory action taken by the CBN against Heritage Bank Plc.

On June 3, CBN revoked the licence of Heritage Bank with immediate effect.

The regulator said the decision followed the bank’s inability to improve its financial performance.

Less than 24 hours later,  online reports claimed that the apex bank would terminate the licences of Unity Bank, Polaris Bank, and Keystone Bank – but CBN denied the claim, saying the content was not authentic.