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Bank recapitalization will fuel Nigeria’s $1trn economy target – Tinubu

 


President Bola Ahmed Tinubu has backed the recapitalization plan of the financial sector by the Central Bank of Nigeria.

 

Tinubu disclosed his stance at Tuesday’s 40th anniversary celebration of Guardian Newspaper in Lagos.

 

He was represented by his Special Adviser on Information and Strategy, Bayo Onanuga, who stressed that achieving a $1 trillion economy is possible.

 

He said ascertaining the capital adequacy of Nigeria’s banking sector is a crucial driver to attaining the country’s targeted economic objective.

 

According to him, the Federal Government is already moving to achieve the objective of wooing foreign direct investments.

 

Onanuga said, “In the economy facing all of us, our ambition to attain the $1tn appears daunting, but we believe it is achievable with God on our side and our collective determination. This explains why the Vice President and I have been on the road trying to attract huge investments into various phases of our economy: agriculture, oil and gas and others.

 

“To arrive at the $1 trillion economy, we must address the capital adequacy of our banks that will prepare the fuel for this journey.”

 

Recall that the Governor of CBN, Olayemi Cardoso, at the 50th anniversary of the Chartered Institute of Bankers, unveiled the apex bank’s plan to recapitalize the financial sector in line with Tinubu’s $1 trillion economy target in seven years.

 

In 2005, CBN recapitalized the banking sector, increasing the capital base from N2 billion to N25 billion.

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