Deposit Money Banks have continued to reduce their borrowings from the Central Bank of Nigeria.
The CBN attributed this new development to excess liquidity in the system.
Banks borrowed N15.95bn from the CBN in the Standing Lending Facility window in November, the CBN disclosed this in its latest monthly economic report for November.
Part of the report read, “Deposit Money Banks and merchant banks continued to access the standing facilities window to square liquidity positions in November 2020.
“The trend at the CBN standing facilities window showed more frequency at the Standing Deposit Facility window, compared with the Standing Lending Facility, due to the banking system liquidity surfeit.
“Applicable rates for the SLF and SDF stood at 12.5 per cent and 4.5 per cent, respectively.
“Total request for the SLF granted from November 1-26, 2020 was N15.95bn, made up of N3.15bn direct SLF and N12.79bn Intraday Lending Facilities converted to overnight repo.”
The report stated that daily average was N2.66bn in six transaction days from November 1-26, 2020.
It stated that the total interest earned was N0.09bn.
Total SDF granted, during the review period, was N726.98bn with a daily average of N38.26 billion in 19 transaction days from November 1-26, 2020.
Daily request ranged from N31.30bn to N45.1bn.
Cost incurred on SDF in the month stood at N0.12bn.
Peter Obaseki Retires as Chief Operating Officer of FCMB Group Plc
The Board of Directors of FCMB Group Plc has announced the retirement of Mr. Peter Obaseki, the Chief Operating Officer of the financial institution, with effect from March 1, 2021. He was also an Executive Director of the Group.
His retirement was approved at a meeting of the Board of the Group on February 26, 2021. This has also been announced in a statement to the Nigerian Stock Exchange (NSE) by the financial institution.
The Chairman of FCMB Group Plc’s Board of Directors, Mr Oladipupo Jadesimi, thanked Mr. Obaseki for his valuable service and excellent support to the Board for many years.
FCMB Group Plc is a holding company divided along three business Groups; Commercial and Retail Banking (First City Monument Bank Limited, Credit Direct Limited, FCMB (UK) Limited and FCMB Microfinance Bank Limited); Investment Banking (FCMB Capital Markets Limited and CSL Stockbrokers Limited); as well as Asset & Wealth Management (FCMB Pensions Limited, FCMB Asset Management Limited and FCMB Trustees Limited).
The Group and its subsidiaries are leaders in their respective segments with strong fundamentals.
For more information about FCMB Group Plc, please visit www.fcmbgroup.com.
COVID-19: CBN Extends Loan Repayment by Another One Year
Central Bank Extends One-Year Moratorium by 12 Months
The Central Bank of Nigeria (CBN) has extended the repayment of its discounted interest rate on intervention facility by another one-year following the expiration of the first 12 months moratorium approved on March 1, 2020.
The apex bank stated in a circular titled ‘Re: Regulatory forbearance for the restructuring of credit facilities of other financial institutions impacted by COVID-19’ and released on Wednesday to all financial institutions.
In the circular signed by Kelvin Amugo, the Director, Financial Policy and Regulation Department, CBN, the apex bank said the role-over of the moratorium on the facilities would be considered on a case by case basis.
The circular read, “The Central Bank of Nigeria reduced the interest rates on the CBN intervention facilities from nine per cent to five per cent per annum for one year effective March 1, 2020, as part of measures to mitigate the negative impact of COVID-19 pandemic on the Nigerian economy.
“Credit facilities, availed through participating banks and OFIs, were also granted a one-year moratorium on all principal payments with effect from March 1, 2020.
“Following the expiration of the above timelines, the CBN hereby approves as follows:
“The extension by another 12 months to February 28, 2022 of the discounted interest rate for the CBN intervention facilities.
“The role-over of the moratorium on the above facilities shall be considered on a case by case basis.”
It would be recalled that the apex bank reduced the interest rate on its intervention facility from nine percent to five percent and approved a 12-month moratorium in March 2020 to ease the negative impact of COVID-19 on businesses.
To further deepen economic recovery and stimulate growth, the apex bank has extended the one year-moratorium until February 28, 2022.
Dennis Olisa Invests N53.6 Million in Zenith Bank
Executive Director of Zenith Bank Plc Buys 2 Million Shares of Zenith Bank at N53.6 Million
Executive Director of Zenith Bank Plc, Dennis Olisa, has invested a combined N53.58 million in shares of Zenith Bank.
The leading financial institution stated in a disclosure statement filed with the Nigerian Stock Exchange (NSE) on Monday.
Olisa carried out the purchase in two different transactions on February 24, 2021 at the Nigerian Stock Exchange in Lagos, Nigeria.
He purchased 1 million units of Zenith Bank at N26.60 each and another 1 million shares at N26.50 per share.
On aggregate, Olisa purchased 2 million shares of Zenith Bank at N26.79 per share or N53.58 million. See the details below.
Dennis Olisa was appointed as Zenith Bank’s executive director three years ago.
Prior to his appointment, Mr. Olisa was the Chief Inspector at Zenith Bank Plc and served as its Director from March 3, 2017 until March 16, 2017.
He also served as General Manager and Heads of the Energy Oil & Gas Group at Zenith Bank Plc and served as its Deputy General Manager. He served as Head of Internal Control & Audit Group at Zenith Bank Plc
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