A former Bank Examiner, Bandele Olusegun on Wednesday faulted plans to cede banks’ supervisory function to the Chartered Institute of Bankers of Nigeria (CIBN).
Mr Olusegun, who was a guest on Channels Television’s breakfast programme, Sunrise Daily, said the CIBN does not have the resources to conduct examinations and supervision for banks in Nigeria.
“The CIBN cannot do it because of the fact that they wouldn’t have the resources to carry it out,” he said.
The former bank examiner said CIBN’s major source of revenue is from subscription from its members and that it takes an average of three months to conduct a proper bank examination which cost a lot of money the institute cannot afford.
The Chairman of the House Committee on Banking and Currency, Jones Onyereri gave hint of the plans of the National Assembly to cede bank supervision to the CIBN during the special ACIB induction for the pioneering graduates of the Chartered Bank MBA of the institute.
Mr Onyereri said the move would be the main focus of the lawmakers this year, to ensure that it excises the supervisory role from CBN.
The lawmakers had initiated moves to amend CBN’s Act that would have compromised the apex bank’s autonomy, but the plan was stalled due to stiff opposition from stakeholders.
The amendment, among other things, sought to remove the bank’s governor, deputy governors and executive directors from the bank’s board, provides for a former governor of CBN to chair the board, while also stripping the board the power of consideration and approval of its yearly budget.
