Wednesday, September 27, 2023
No Result
View All Result
SUBSCRIBE
eNaira Online News
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion
eNaira Online News
No Result
View All Result

CBN Sets Aug 1 For Enforcement Of Credit Risk Regulations

by e-Naira Online News
June 2, 2022
in Banking
Reading Time: 3 mins read
A A
0
Home Banking
Share on FacebookShare on Twitter


The Central Bank of Nigeria (CBN) has mandated the enrolment of other financial institutions (OFIs) on the credit risk management system (CRMS). CBN gave the directive in a circular published on its website and signed by Chibuzo Efobi, Director, Financial Policy and Regulation Department.

CRMS is the practice of mitigating losses by understanding the adequacy of a bank’s capital and loan loss reserves at any given period. With this, the CBN and OFIs would be able to track any bank debtor to know if such a debtor owes another institution.

OFIs include development finance institutions (DFIs), microfinance banks, (MFBs), primary mortgage banks (PMBs), and finance companies (HFCs).

“All OFls are hereby informed that the provisions of the regulatory guidelines for the redesigned credit risk management system for a commercial, merchant, and non-interest banks in Nigeria issued on February 27, 2017 (Ref No. FPR/DIR/GEN/CRM/06/012) and the additional regulatory guidelines for the operation of the redesigned CRMS issued on September 10, 2018 (Ref No. FPR/DIR/GEN/CIR/07/007) have become applicable to all OFls,” the circular reads.

“Accordingly, and more specifically, enforcement of Section 3.1(a) of the guidelines on CRMS that captures the ‘submit before disbursement’ requirement shall commence on August 1, 2022.”
Section 3.1(a) of the regulatory guidelines for the operation of CRMS states that “rendition on the CRMS is required before the disbursement of any loan or credit facility.

“This process of submission does not interfere with any participating bank’s decision to extend a loan or credit to its customer. Consequently, rendition is only required after approval to disburse is given.”

The apex bank also reminded OFIs to ensure that all their customer accounts comply with the 10-digit Nigeria uniform bank account number (NUBAN) format, and are tagged with bank verification number (BVN) or tax identification number (TIN) for individual and non-individual accounts of the account holder and profiled on the Nigeria Inter-Bank Settlement System’s (NIBSS) industry customer accounts database (CAD) not later than June 20, 2022.

“These remain prerequisites for enrolment onto the CRMS,” CBN said.

CBN further warned that failure to comply with the stipulated timelines would attract appropriate sanctions.

Related





Source link

Tags: AugCBNCreditenforcementRegulationsrisksets
Previous Post

Customers Stranded As Police Seal Zenith Bank’s Branches

Next Post

World Bank experts list 4 factors hindering Nigeria’s poverty-reduction goals

Related Posts

Afreximbank Urges Prioritisation Of Export Trading Companies To Drive African Small And Medium Enterprises (SME) Participation In Global Trade
Banking

Afreximbank Urges Prioritisation Of Export Trading Companies To Drive African Small And Medium Enterprises (SME) Participation In Global Trade

by e-Naira Online News
September 26, 2023
40 Million Nigerian Children From Poor Families – W’Bank
Banking

40 Million Nigerian Children From Poor Families – W’Bank

by e-Naira Online News
September 25, 2023
African Development Bank And Google Collaborate On Digital Transformation In Africa
Banking

African Development Bank And Google Collaborate On Digital Transformation In Africa

by e-Naira Online News
September 22, 2023
GTBank Selects Infosys Finacle For Its Multi-Country Digital Banking Transformation
Banking

GTBank Selects Infosys Finacle For Its Multi-Country Digital Banking Transformation

by e-Naira Online News
September 22, 2023
CBN Starts Online License Application, Approval For MfBs
Banking

CBN Starts Online License Application, Approval For MfBs

by e-Naira Online News
September 21, 2023
Next Post
World Bank experts list 4 factors hindering Nigeria’s poverty-reduction goals

World Bank experts list 4 factors hindering Nigeria’s poverty-reduction goals

Is it advisable to plan for the death of a spouse?

Is it advisable to plan for the death of a spouse?

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Presidential adviser urges Central Bank to reduce BDCs by 95%

Presidential adviser urges Central Bank to reduce BDCs by 95%

September 27, 2023
Manufacturing performance indicators contracted by 1.4% in H1 — Business — The Guardian Nigeria News – Nigeria and World News

Manufacturing performance indicators contracted by 1.4% in H1 — Business — The Guardian Nigeria News – Nigeria and World News

September 27, 2023
How rate hikes, weaker naira hurt FMCG firms

How rate hikes, weaker naira hurt FMCG firms

September 27, 2023
NAFDAC, SON must sit up

NAFDAC, SON must sit up

September 27, 2023
When protocol clashes with tradition

When protocol clashes with tradition

September 26, 2023
We’ll provide enabling environment for business to thrive

We’ll provide enabling environment for business to thrive

September 26, 2023
Conoil, Oando, others drag down Nigeria’s capital market by N126bn

Conoil, Oando, others drag down Nigeria’s capital market by N126bn

September 26, 2023
Senate confirms Dr. Cardoso as CBN Governor 

Senate confirms Dr. Cardoso as CBN Governor 

September 26, 2023

Get the free newsletter

eNaira Online News

Get the latest news and follow the coverage of eNaira, Business & Financial, Stock Market, Analysis, and more from the trusted sources.

CATEGORIES

  • Banking
  • Business
  • Capital Market
  • Companies
  • Crypto
  • eNaira
  • Finance
  • Opinion
  • Personal Finance
  • Real estate
  • Uncategorized
No Result
View All Result

GET THE FREE NEWSLETTER

  • Disclaimer
  • Privacy Policy
  • DMCA
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact us

Copyright © 2022 e-Naira Online News.
e-Naira Online News is not responsible for the content of external sites.

No Result
View All Result
  • Home
  • eNaira
  • Capital Market
  • Business
  • Finance
  • Banking
  • PF
  • Companies
  • Crypto
  • Real Estates
  • Opinion

Copyright © 2022 e-Naira Online News.
e-Naira Online News is not responsible for the content of external sites.