By Mike Abbah
The Central Bank of Nigeria has dismissed reports suggesting distress in a regulated financial institution as the banking recapitalization exercise goes on.
The apex bank, in a press statement on Monday, described the claims as misleading and capable of triggering unnecessary panic in the financial system.
In the press statement signed by the Acting Director of Corporate Communications, Hakama Sidi-Ali, CBN assured Nigerians that the country’s banking sector remains “resilient, safe, and sound.”
The clarification follows what the CBN described as “certain publications and social media reports”, that raised concerns over the operations of an unnamed financial institution under its regulatory supervision.
“The CBN wishes to categorically reassure the public, depositors, and stakeholders that the Nigerian banking sector remains resilient, safe, and sound,” the statement read.
While it did not name the institution in question, the CBN stressed that all licensed banks are subjected to “stringent regulatory requirements,” adding that there is “no cause for concern regarding the safety of depositors’ funds.”
The Bank further noted that it maintains a robust risk-based supervisory framework and early warning systems to detect and address vulnerabilities before they escalate.
“The Bank affirms that it continues to monitor all financial institutions under its regulatory purview and maintains robust frameworks for early warning signals and risk-based supervision,” the statement said.
“These mechanisms ensure that any emerging issues are promptly addressed to protect the integrity of the financial system,” it added.
The CBN urged the public to disregard unverified claims circulating online and instead rely on official communication channels for accurate updates about Nigeria’s financial system.
The statement reiterated the CBN’s commitment to “fostering a secure banking environment where depositors can be fully confident in the safety of their funds.”
Although the central bank did not confirm whether the reports pertained to solvency, liquidity concerns, or internal mismanagement, the swift response suggests growing sensitivity to reputational risks that could undermine public confidence in the sector.
The assurance comes amid broader reforms and recapitalisation efforts within the banking industry, with stakeholders closely monitoring the health of financial institutions.
The Bank concluded by stating that it will continue to monitor and adapt strategies to safeguard the financial interests of Nigerians and uphold the stability of the financial system.
The press statement entitled “CBN Reassures Public on Banking Sector Stability” read:
“The attention of the Central Bank of Nigeria (CBN) has been drawn to certain publications and social media reports containing misleading information regarding the operations of a regulated financial institution.
“The CBN wishes to categorically reassure the public, depositors, and stakeholders that the Nigerian banking sector remains resilient, safe, and sound.
“Like all other regulated institutions, the institution referenced in these reports is held to stringent regulatory requirements, and there is no cause for concern regarding the safety of depositors’ funds.
“The Bank affirms that it continues to monitor all financial institutions under its regulatory purview and maintain robust frameworks for early warning signals and risk-based supervision. These mechanisms ensure that any emerging issues are promptly addressed to protect the integrity of the financial system.
“We urge the public to disregard sensational or unverified claims and rely solely on official channels for information about the financial system.
“The CBN remains dedicated to fostering a secure banking environment where depositors can be fully confident in the safety of their funds. It will continue to monitor and adapt strategies to safeguard the financial interests of all Nigerians and stakeholders in our financial
system.”
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