By Abimbola Ogunnaike
The Central Bank of Nigeria,(CBN), has disclosed plans to closely monitor the recapitalisation of the Nigerian banking sector, in collaboration with law enforcement agencies.
The move, according to the Apex Bank, is intended to prevent illicit financing in the sector.
The Director of the CBN’s Financial Policy and Regulation Department, Haruna Mustafa, disclosed this in a circular on Friday, 29 March, 2024.
The circular addressed commercial, merchant and non-interest banks, including promoters of proposed banks, regarding the new minimum capital requirements for banks.
The banker’s bank said it will conduct the enforcement with the collaboration of relevant law enforcement agencies.
According to the circular, the CBN wants to ensure that the capital raised during the recapitalization process is free from illegality.
Recall that the CBN has raised the minimum capital requirements for all banks in Nigeria.
