Home News NDIC, CBN form committee to assist Savannah Bank

NDIC, CBN form committee to assist Savannah Bank

by Business News Report

Nigeria Deposit Insurance Corporation (NDIC) and Central Bank of Nigeria (CBN) have formed a committee to examine issues relating to the take-off of Savannah Bank after the recovery of its licence, an official said. Alhaji Umar Ibrahim, Managing Director of NDIC, made the fact known at a workshop for business editors and financial correspondents in Dutse.
He, however, said that the corporation would only assist after the bank had fulfilled the conditions stipulated by CBN. ”While the committee is committed to helping Savannah bank to start banking operations, the apex regulators have also taxed the bank to also strive to assist itself meet with the conditions set out by the Central Bank.”
He said the regulators would assist Savannah Bank to take off on a sound footing but added that the corporation was concerned about how best to sustain sound financial footing for the enterprise. ”We want to ensure that we reduce shocks and things that expose banks to distress because no bank is too big to fail,” Ibrahim said.
The bank has recovered its licence after a court decision and has been directed to recapitalise to be able to operate. The CBN had injected N620b to eight troubled banks but Savannah Bank was not part of the deal.

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