- FG Moves to Insure National Assets
The Federal Government has said that it will ensure adequate insurance of its assets.
The Minister of Finance, Mrs. Kemi Adeosun, said this during the National Insurance Conference of the Insurance Industry Consultative Council with the theme: ‘Nigeria open for business’, in Abuja on Monday.
Adeosun said, “Foreign investors have shown great interest in the Nigerian insurance sector by entering into the market and progress can be seen in the introduction of new insurance products in the growing mortgage and housing sector.
“To consolidate on the progress being made, the Federal Government will play its part to ensure that government assets are adequately insured.”
The minister, who was represented by the Permanent Secretary in the ministry, Mahmoud Isa-Dutse, also said that through the Voluntary Asset and Income Declaration Scheme, the Federal Government would train insurance brokers and underwriters because they were the people who would support individuals to purchase insurance policies that hedge potential losses of wealth and assets.
While pointing out that the Federal Government appreciated the fact that the insurance industry was dynamic and creating employment and entrepreneurship opportunities at all levels, she said the government would support the sector to continue to contribute effectively to sustainable and inclusive economic growth.
“We must be willing to expand the insurance market beyond the upper class and formally employed market, to the middle and lower income market. Doing this means that our distribution channels must be innovative, considering product features, cost, proximity and all other relevant factors,” Adeosun stated.
The Commissioner for Insurance, Mohammed Kari, said that the various reforms and initiatives of the Federal Government, including the fight against corruption and terrorism, improved management of the nation’s wealth and the determination for improved infrastructure all pointed to ensuring that the environment was prepared for business.
While speaking on the Executive Orders issued by the Acting President Yemi Osibanjo on the ease of doing business, Kari said that the commission had commenced a review of its processes to include timelines and datelines for granting approvals, licences and permits.
The Chairman, Heirs Holdings Limited, Mr. Tony Elumelu, called on the Federal Government to speedily address the $14bn annual infrastructure deficit in the country, stating that it was the single greatest impediment to business.
He stated that the infrastructure challenge had become a source for concern as the country was in need of critical transportation system such as roads and railways, which facilitate businesses.
Elumelu added that a country without efficient, affordable and accessible transport systems to facilitate the movement of people and goods from one place to the other would have difficulties attracting investors.
He stated that the gap in infrastructure had provided discerning investors with huge opportunities to partner the government in addressing the deficit.
CBN to Extend Credit Risk Management System to OFIs
In an effort to curb growing bad debt, the Central Bank of Nigeria has said it will extend its Credit Risk Management System to Other Financial Institutions (OFIs) operating in Nigeria to protect them from bad debtors.
According to the apex bank, this is important following the successful implementation of the credit risk system in other lending institutions operating in Nigeria.
The bank disclosed this in a circular titled ‘Credit Risk Management System: Commencement of enrolment of all Development Finance Institutions, Microfinance Banks, Primary Mortgage Banks and Finance Companies’ and signed by Kelvin Amugo, the Director, Financial Policy and Regulation Department, on Monday.
In part, the circular read, “As part of efforts to promote a safe and sound financial system in Nigeria, the CBN introduced the CRMS to improve credit risk management in commercial, merchant and non-interest banks as well as to prevent predatory borrowers from undermining the banking system.
“With the successful implementation of the CRMS in deposit money banks, it has become expedient to commence the enrolment of Other Financial Institutions on the CTMS platform.
“Accordingly, all DFIs, MfBs, PMBs and FCs are required to report all credit facilities (principal and interest) to the CRMs and to update same on monthly basis.
“OFIs shall note the Bank Verification Numbers and Tax Identification Numbers are the only basis for regulatory renditions”.
BoI Grows Assets by 78.8% to N1.86 Trillion
The Bank of Industry Group concluded the 2020 financial year with a 78.8 per cent growth of assets from N1.04tn to N1.86tn between 2019 and 2020.
A statement by the bank on Monday said the increase was driven to a large extent by the successful debt syndication of €1bn and $1bn that were concluded in March and December 2020 respectively.
BoI stated that the group’s financial statement demonstrated resilience and strength, noting that the period had significant challenges in the operating environment on account of the impact of COVID-19 pandemic on the economy.
“It also indicates synergy with the various interventions developed by the Federal Government, the Central Bank as well as other strategic partners towards ameliorating the impact of the pandemic on Nigerian enterprises,” the statement said.
The group’s total equity increased by 14.8 per cent from N293.08bn in the previous year to N336.48bn in 2020.
It added that as a reflection of the adverse impact of the challenging operating environment on growth of new facilities, loans and advances grew marginally in 2020 by 1.3 per cent to N749.84bn from the 2019 position.
The bank explained that this was largely due to the economic slowdown in the year as well as the various interventions and support initiated by the bank for its customers.
“The bank reviewed and restructured all its managed projects under the CBN intervention programme with interest rate reduction from nine to five per cent per annum for a period of one year and moratorium extension of three months (with a possible extension up to 12 months),” it said.
TAJBank Deploys NQR Solution To Ease Customer Transactions
TAJBank, Nigeria’s non-interest bank, has announced the deployment of the NQR Payment solution, an indigenous Quick Response Code (QRC) by the Nigeria Interbank Settlement Scheme (NIBSS), for merchants and customers as the newest addition to its innovative e-business channels.
The NQR Payment solution is a secure QR-code-based payments and collections platform developed for merchants and customers to receive and make payments for goods and services in a quick, easy, contactless and secure manner.
A statement signed by the Founder/Chief Operating Officer of the bank, Mr. Hamid Joda, indicated that the ingenious solution would further drive TAJBank’s culture of innovation and create a seamless payment experience for its rapidly growing individual and corporate customers in their banking transactions.
“We are excited to have this payment channel introduced into the nation’s financial system as an addition to other innovative solutions we have deployed over the past few months.
This is a proof that, as we have said in our communications signature line, TAJBank’s interest is always in our customers”, Joda enthused.
In his remarks, the non-interest lender’s Chief Marketing Officer/Co-Founder, Mr. Sherif Idi, also maintained that the deployment of the NQR payment solution would revolutionize the e-payment experience and open new frontiers for small, medium and large scale businesses who are major stakeholders of the bank.
Since it commenced operations in the non-interest banking segment of the financial services industry, TAJBank is noted for its impeccable track record of growth and innovation, rendering exceptional quality services to customers.
The lender’s NQR solution is open to all customers of the bank, both merchants and individuals, across all its branches and digital channels globally.
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