The Governor of the Central Bank of Nigeria, Godwin Emefiele, has announced plans to engage stakeholders in the Judiciary to enforce the Special Tribunal for the Enforcement and Recovery of Eligible Loans.
According to the Asset Management Corporation of Nigeria (AMCON),said it still has 7,902 outstanding obligors with a total outstanding loan of above N3.1trn, while 350 obligors alone account for over N2.053trn, with more than 70 per cent of the total outstanding amount.
Emefiele ,who disclosed this at a workshop for judicial officers on recent reforms of the banking financial services sectors in Nigeria held in Abuja,explained that the Special Tribunal which is a provision of the Banks and Other Financial Institutions Act which was introduced to accelerate credit recovery processes and enforcement of collateral rights.
He spoke on the benefits of the BOFIA 2020, saying that the Act is expected to reinvigorate the Nigerian banking sector as it will engender a sound and stable financial system that will support sustainable growth and development of the Nigerian economy.
According to him,the BOFIA 2020 also strengthens the Anti-Money Laundering and Combating Financing of Terrorism Framework by mandating regulated entities to comply with AML/CFT and cybersecurity regulations.
He said that the BOFIA contains provisions to effectively manage unclaimed funds or abandoned property in dormant accounts maintained with banks, specialized banks and other financial institutions, as well as recovery tools for failing banks.
He added that BOFIA 2020 also provides enhanced recovery and resolution tools for failing banks, specialized banks and other financial institutions in order to prevent a systemic crisis, maintain the financial system stability and sustain depositor confidence, he explained.
Meanwhile,Osun State Government ,has commenced disbursement of N636.195,000.00 as soft loans to the citizens and residents of the State.
The initiative, which was actualised through collaboration with the Central Bank of Nigeria-supported Micro, Small and Medium Enterprises Development, was aimed at expanding the scope of businesses, trades, investments stimulating the economy and reducing the scourge of unemployment in the State.
The soft loans were disbursed through Osun Micro Credit Agency as part of efforts to ensure proper coordination.
Speaking at the flag-off ceremony held at Nelson Mandela Freedom Park, Osogbo, Governor Oyetola said the gesture was in furtherance of the Administration’s resolve to build a virile and healthy economy.
He said the initiative stemmed from the Administration’s Development Agenda that is focused on revitalising the economy for improved performance, noting that by their enormous productivity and capacity for value and job-creation, MSMEs constitute a critical part of government’s diversification agenda.
Oyetola reiterated his Administration’s commitment to scaling up the ease-of-doing business in the State. He said the initiative would go a long way to resuscitate moribund businesses and investments in the State.
He disclosed that over N6.5 billion of the Central Bank of Nigeria and Osun intervention funds have been disbursed to 31,888 beneficiaries in different categories.
He said the state had invested hugely in the economy as evidenced in the successes recorded so far.
