The Central Bank of Nigeria (CBN) recorded operating surplus of N65.63 billion in 2022 financial year, a growth from N31.04 billion profit posted in 2021. The apex bank reported this in its 2022 audited financial statement which has been approved by the bank board. The 2022 financial statement of the bank is posted on its website. The apex bank accounts showed it made a surplus after tax ofN103.8 billion up from N75.1 billion reported a year earlier. The results which are published on the website of the apex bank included audited results for 2016, 2017, 2018, 2019, 2020, and 2021. The apex bank’s results also show it reported a surplus after tax every year for the last 8 years consecutively despite facing currency depreciations and doling out intervention funds, and loans to the government amongst other development finance activities.
Until now, the results have been withheld from the public under Godwin Emefiele. However, the recent decision of President Tinubu to investigate the apex bank’s operations under the suspended CBN Governor may have triggered the release of the financial statements. The latest result which was signed by Godwin Emefiele and audited by EY and KPMG shows the apex bank has relied on a combination of higher interest income, fees, and commissions to remain profitable. A cursory analysis of the results shows the apex bank earned a net interest income of N1.8 trillion compared to N1 trillion a year earlier representing an 80% surge in net interest income. Net operating income was N1.2 trillion compared to N1.1 trillion same period in 2021. Total operating expenses also rose from N1.1 trillion in 2021 compared to N1.2 trillion in 2022.
The 2022 audited financial statement is coming 7 years after the CBN published its last financial statement in 2015. The statement said the bank Group also recorded a profit of N103.85 billion profit in 2022. The Group refers to CBN and its subsidiaries including the Nigerian Security Printing & Minting Plc (MINT), Nigerian Electricity Supply Industry Stabilisation Strategy Limited (NESI SS Ltd), among others. “The Group and bank’s profit for the year was N103,854 million and N65,626 million, respectively (2021: N75,125 million and N31,044 million respectively). In line with the provision of the Fiscal Responsibility Act 2011, 20 percent of the net income of the bank will be credited to retained earnings, while the balance will be paid to the federal government of Nigeria,” the report reads. The CBN was under the Godwin Emefiele, the suspended CBN governor during the seven years period the bank did not publish its annual reports. The bank stopped publishing its annual reports in 2015 in contravention of its laws. Going by the CBN Act 2007, the bank should publish its annual report within two months after the end of each financial year. The law says “The bank shall, within two months after the close of each financial year, transmit to the National Assembly and the President a copy of its annual accounts certified by the Auditor.
“A report required to be submitted to the national assembly and the president shall be published by the bank in such a manner as the governor may direct. The board shall ensure that accounts submitted pursuant to this section shall, as soon as possible, be published in the Gazette. The bank shall, as soon as may be practicable after the last day of each month makeup end, publish a return of its assets and liabilities as at the close of business on that day, or if that day is a holiday, as at the close of business on the last preceding business day.” CBN is currently being investigated by the Federal Government.
