Two days to the official end of Professor Chukwuma Soludo’s tenure as governor of the Central Bank of Nigeria (CBN), President Umaru Musa Yar’Adua is expected to formally submit Mr. Sanusi Lamido Sanusi’s name to the Senate today as the governor-designate.

It has also emerged that Soludo’s appointment letter was dated June 3, 2004 and he is just about to complete his five-year tenure.
The President has decided not to renew his tenure, in line with his publicly declared policy that any appointee that has served his or her tenure should go in order to encourage “organisational growth”.

Sanusi had been seen at the Presidential Villa as well as the premises of the State Security Service (SSS) at the close of last week, obviously undergoing security checks to make for smooth screening by the Senate.

A director of First Bank Nigeria Plc, where Sanusi is currently Group Managing Director, told THISDAY yesterday that Sanusi’s tenure would be “radically different” from that of Soludo as he is likely to place banks under “stricter surveillance”.

Sanusi, whose grandfather, Muhammadu Sanusi,  was the 11th Fulani Emir of Kano, is quoted by close friends as saying his tenure at CBN would not be “business as usual”.

One of his associates told the newspaper: “He believes bankers should take banking as a profession not as business. He believes Soludo has done well with consolidation and all the banking industry needs now is the return of ethics.”

He intends to make the banks keep strictly to prudential guidelines which Soludo had been emphasising in the last few months, the associate said, adding that Sanusi would insist on banks making full disclosure of their assets and liabilities.

Some top bankers are said not to be comfortable with Sanusi’s appointment because of his strong views on “ethical banking”.

THISDAY had a week ago reported Yar’Adua’s preference for Sanusi, an economist and banker with expertise in risk management, who was appointed GMD of FirstBank January this year.

However, eyebrows were raised over Sanusi’s state of origin which some argue would violate the principle of federal character in public appointments as other managers of the key sectors of the economy are from Sanusi’s home state, Kano.

Chairman of the Senate Committee on Housing and Urban Development, Senator Ikechukwu Obiorah (Anambra South), had written to Yar’Adua, pointing out that the Minister of Finance, Dr. Mansur Muhtar, and the Minister of National Planning, Dr. Shamsuddeen Usman, were both from the state.

Sources told THISDAY last night that the President is not moved by the argument because he believes Sanusi is “eminently qualified” for the position.

Fears that there was going to be a lacuna in leadership at the CBN were allayed as it turned out that Soludo’s tenure would end on June 3 and not on May 29 as initially thought.

If Yar’Adua sends the letter to the Senate, which is legally required to screen the nominee for CBN governorship, it is most likely that the screening would be done before the week runs out as a matter of “urgent national importance” to avoid creating leadership vacuum at the apex bank – a development seen as potentially damaging to the financial markets.

The Senate is scheduled to go on recess by Friday, but it is expected that Sanusi’s nomination will be confirmed before then.

It is still not clear what the attitude of the Senate would be to confirming Sanusi’s appointment following protests over his state of origin.

But THISDAY was informed last night that Presidency had met with key senators to explain Sanusi’s choice to them in order to allow for smooth screening and confirmation.

THISDAY reported last week that following strong signals that Soludo might not be re-appointed, bigwigs from the South-east geo-political zone and key bankers had stepped up moves to save his job.

THISDAY learnt that following the report, some top political and business elite held a series of meetings to map out strategies.

Some of the meetings were attended by serving senators and members of the House of Representatives, as well as the Igbo intelligentsia.

Sanusi is widely respected in the banking industry for his contributions to the development of a Risk Management culture in the Nigerian banking sector.

As Executive Director, Risk & Management Control of FirstBank, he was said to have championed remarkable developments in the bank’s enterprise risk and management control mechanisms.

A prolific writer, Sanusi has presented papers at academic fora on several continents. Many of his papers have been published in academic journals, books and newspapers.

http://www.thisdayonline.com/nview.php?id=144908

From what I am hearing about this guy, i hope he gets approved by the senate, and actually deliver.

It obvious those that want Soludo to stay are certain banks, who have gotten unfair advantage. All you have to do so is look at the N200bn loan for farmers that the FG released, only 2 banks shared the money.

Its time Nigerian banks open their books, and meet international standards when it comes to reporting

They should appoint sanusi to CBN and fire the other ministers from Kano.

biina:

They should appoint sanusi to CBN and fire the other ministers from Kano.

Keep deaming

asha 80:

Keep deaming

its not a dream, as the issue of keeping federal character makes it unlikely for all three to keep their jobs.

biina:

its not a dream, as the issue of keeping federal character makes it unlikely for all three to keep their jobs.

And who is going to sack them?Yaradua?U must be having a ball to think they would be sacked just to keep federal character.

asha 80:

And who is going to sack them?Yaradua?U must be having a ball to think they would be sacked just to keep federal character.

Yaradua doesn't have to sack them, but i doubt the majority of the senate (be it for their own selfish reasons) would approve him packing the financial sector with only his people.
So it will be either Sanusi doesn't get the job, or he drops someone else.

Is the Nigerian news media begining to abuse the term 'a source who would not like to be mentioned'

we have heard so many different news from this source

By the way . . . . how come the whole journalist accross different media organisations did not know that actually Soludo's tenure did not end last Friday but on 3rd June. You can only wonder how this journalists get their news.

They report anything without verifying so long as you pay.

mikeansy:

Is the Nigerian news media begining to abuse the term 'a source who would not like to be mentioned'

we have heard so many different news from this source

By the way . . . . how come the whole journalist accross different media organisations did not know that actually Soludo's tenure did not end last Friday but on 3rd June. You can only wonder how this journalists get their news.

They report anything without verifying so long as you pay.

they are gettin worse by the day! incompetent government, incompetent journalists!

From what I am hearing about this guy, i hope he gets approved by the senate, and actually deliver.

It obvious those that want Soludo to stay are certain banks, who have gotten unfair advantage. All you have to do so is look at the N200bn loan for farmers that the FG released, only 2 banks shared the money.

Its time Nigerian banks open their books, and meet international standards when it comes to reporting

spot on, their customer services is woeful, tehyve turned banking into another thing entire,
not a single bank has had the books thrown at it! how could financial institutions strenously avoid international accounting standards??

biina:

They should appoint sanusi to CBN and fire the other ministers from Kano.

true the guy-shamsudeen has been sulking ever since he got the boot from the top job, he's got a big ego for a northerner!
guess he wanted to compete with soludo in the style and popularity department! he's now unproductive

_{just hope sanusi doesnt stick to the ridiculous bow tie}

With the coming of Sanusi as

With the coming of Sanusi as CBN boss, I hope the Nigerian Banking Industry will become very professional. Our banks need to start competing internationally. Sanusi has to match his words with action. I don't like the '' No Business As Usual '' catchphrase. OBJ used it and did not achieve much. We need ' less talk, more action ' leaders in Nigeria. Cheers.

Redman44:

With the coming of Sanusi as CBN boss, I hope the Nigerian Banking Industry will become very professional. Our banks need to start competing internationally. Sanusi has to match his words with action. I don't like the '' No Business As Usual '' catchphrase. OBJ used it and did not achieve much. We need ' less talk, more action ' leaders in Nigeria. Cheers.

the guy has not even said a single word!

Make them do anything wey them like! it doesnt choke me an inch. ttseeeeeeeew.

Useless Federal Government. We can [b]NEVER [/b]change with the way we run politics in Nigeria.

Nuisance.

Appointment of CBN gov: Lawmaker calls for caution
Kunle Awosiyan, Lagos - 01.06.2009

CHAIRMAN, House of Representatives Committee on Information and National Orientation, Honourable Dino Melaye, has called on President Umaru Yar’Adua to hinge the appointment of the Central Central Bank of Nigeria (CBN) governor on principle of federal character.

He made this call through a statement made available to the Nigerian Tribune on Sunday, while urging the president not to allow sentiment over the appointment.

It will be recalled that the tenure of the incumbent CBN Governor, Professor Chukwuma Soludo, had expired while some people had started to lobby the president to fill the vacant position.

However, Melaye said the Group Managing Director of First Bank Plc, who was touted to be among the list of contenders for the post, Sanusi Lamido, was from Kano State, adding that the federal character would not favour him to become the next governor of CBN.

“I dare say that should the president make the choice of the CBN governor from Kano, the spirit of the federal character would have been compromised.
“The Minister of Finance, Mansur Muhtar, whose portfolio supervises the CBN, is also from that state,” he said.

According to him, this is beside the fact that the National Planning Minister, Sanusi Dagash, is also from Kano.

The way this thing dey go, Yar'adua go send name two times to Senate.

wetin concern me? na who elect dem wey dem opinion go matter?

Thats interesting to hear. Hope he'll deliver it.

YAR A' DULL  for merit?  I think this is good for Nigeria. But if he decide we should do things by merit which I welcome and applaud, then he should now step down immediately as the President of Nigeria. He was not in that office by merit, he knows it.

This guy called YAR A'NONSENSE cannot cease to amaze me.  As of today, Nigeria is build on concept of 'federal character' and I may add this was done in the interest primarily of the North(limited education) so that their interest and other minorities can be protected.

On the face of it, there is nothing to suggest that LAMIDO SANUSI is not the most qualified and competent for the office of Governor of the CBN but on the basis of federal character, the position should not go to him. I have argue this point before on this forum, all the finance and National planning guy's will come from KANO and KATSINA state ,the same geo political zone and that is against the constitution.

The constitution even comes before merit, and the NORTH has benefited from this mediocare constitutional provision for a very long time, and for 
YAR A'DO NOTHING  to now trying to argue MERIT for his guys from KANO and KASTINA state is not only nepotism, but hypocrisy, opportunism and most importantly it is in breach of the constitution.

My hypothetical question is , if those 3 people are from SW or SE will he have allowed those appointment by citing merit? You and I know the answer to that  one, a resounding NO NO NO.

The wind has blown, and we have seen the ass of the fowl. This guy called  YAR A'CLUELESSS is a mini-maradona. I am sorry that merit has to be sacrificed on this occassion for what the constitution says. FINANCE is the hub of any nation, If Yar A'dull want he can find 3 people from SW or SE and put them in FINANCE and let us see if his guys in the NORTH will not declare a JIHAD.

Mr. 7 POINTLESS AGENDA, VISIONLESS 2020, what is good for the goose is good for the gander. STOP PLAYING YOUR GAMES WE ARE NOW WISE.

Its not a matter of beefing,Sanusi can not do half of what Soludo has done.

alex406:

Its not a matter of beefing,Sanusi can not do half of what Soludo has done.

Why do you think so?

and by the way before we celebrate Sanusi as the man who will open CBN books to foreign Investors . . . . it might be worthwhile to see if Reserve Bank Governors arround the world open all of its books to foreign investros arround the world.

Or maybe if the Banks in the West were that transparent how did we not know that RBS was in trouble early enough . . . . . how did we not know that Barclays was in trouble before it was bailed out by Arab Billionaires through Gordon Brown. Why did Northern Rock face the kind of shock it did if they were such an open book.

Sanusi has to be careful about his noise about Banks opening their books to the world . . . . . this is a Country's National Business Interest we are talking about here.

Let the expert economists in the house tell us what they think. . . . . . . .Biina over to you.

China will be a very good case study

mikeansy:

and by the way before we celebrate Sanusi as the man who will open CBN books to foreign Investors . . . . it might be worthwhile to see if Reserve Bank Governors arround the world open all of its books to foreign investros arround the world.

Or maybe if the Banks in the West were that transparent how did we not know that RBS was in trouble early enough . . . . . how did we not know that Barclays was in trouble before it was bailed out by Arab Billionaires through Gordon Brown. Why did Northern Rock face the kind of shock it did if they were such an open book.

Sanusi has to be careful about his noise about Banks opening their books to the world . . . . . this is a Country's National Business Interest we are talking about here.

Let the expert economists in the house tell us what they think. . . . . . . .[b]Biina over to you.[/b]China will be a very good case study

lets just pray for the country cos right now, the leaders have no plan. they are only looking for excuse for the failure they are going to have

CAN THE FEDERAL GOVERNMENT BE PREPARED TO STUN THE NIGERIAN COMMUNITY WITH ANOTHER STUNT 101

WHAT CAN WE EXPECT

A CHANGE

ONLY TIME WILL TELL

http://www.nigeriaonmymind.com

ALL NIGERAINS ARE KEEPING THERE FINGERS CROSSED ,

LETS HOPE FOR THE BEST AS THERE SEEM NOT TO BE A SOLUTION IN SIGHT EXCEPT FOR A TOTAL REBIRTH

BY THE PEOPLE WHO BELIEVE IN DEMOCRACY WITHOUT BIASED, http://www.nigeriaonmymind.com

All I need t confirm is this profile because whoever should take over from Soludo should be nothing less than better
no back tracking abeg if anyone has a brief on this guy post it here thanks

mikeansy:

and by the way before we celebrate Sanusi as the man who will open CBN books to foreign Investors . . . . it might be worthwhile to see if Reserve Bank Governors arround the world open all of its books to foreign investros arround the world.

Or maybe if the Banks in the West were that transparent how did we not know that RBS was in trouble early enough . . . . . how did we not know that Barclays was in trouble before it was bailed out by Arab Billionaires through Gordon Brown. Why did Northern Rock face the kind of shock it did if they were such an open book.

Sanusi has to be careful about his noise about Banks opening their books to the world . . . . . this is a Country's National Business Interest we are talking about here.

Let the expert economists in the house tell us what they think. . . . . . . .Biina over to you.

China will be a very good case study

The CBN books should not be of interest, or made available to foreign investors, primarily because the CBN is a regulatory and supervisory body. All that could be of concern is the level of forex reserves, as it serves as an insurance asset for the Naira.

The books of the individual banks is of interest and is made available to investors. The problem is that the books of Nigerian banks do not necessarily tell the true story. This is not unique to Nigeria or banking. Anywhere in the world, a poorly performing business rarely attracts investors (except the intent is to acquire the company with a view of turning it around), hence companies try to show the world only their good side. Unfortunately, once a few investors are misinformed and lose their money, future suitors will stay clear.

The problems facing the Nigerian banks stem primarily from the bad economy. The primary business of a bank should be providing credit facilities. If the bank's debtors cannot invest in profitable ventures, how then do they repay the initial loan and the accrued interest?. This has led the banks to seek returns via other not so ethical ventures, like currency trading. The increased capitalization has not helped, as it has only added to the pressure to find returns on the investment. I don't blame the banks, as they are simply doing what is in their best interest like any other business.

The CBN needs to step up in its supervisory role. Policing of the banks needs to be improved. Moreso with consolidation, we have put all our eggs in a few baskets, and thus should guard those basket more seriously. The CBN itself needs to be sanitized, as often the CBN staff are complicit with the banks in doctoring of the books. The books of the banks should reflect the true state of affairs and transactions. Unfortunately, if the Nigerian economy does not improve, the CBN will be fighting a losing battle. It will be like fighting crime in the face of growing unemployment.

In fairness to Soludo, his lack of experience working in the banking sector made him an outsider, and thus limited how effective he could be in a supervisory role. One cannot expect Soludo to be an expert in all areas. Sanusi will not have the luxury of this excuse.

Much more of interest is former MD of Wema Bank, Tunde Lemo, who is the Deputy Governor - Financial Sector Surveillance and has been in that position since January 2004. If he cannot come up with valid reasons for the failings of his department, then he should be relieved of his post.

A radical option is the splitting of the CBN into two: a regulatory unit and a supervisory unit.

If capitalization for Nigerian Banks had not been increased many of the consolidated conglomerate banks would not be standing now. The global crises occurred because under capitalized banks were taking risks that they could not possibly cover. Subprime banking doesn't work and I am afraid neither will Lamido. Seriously, just because he speaks with a British accent does not make him more qualified to run CBN.

Bleep federal xter, the best man shld be appointed, we need to imbibe this attitude, where the merit system is always chosen above selfish, federal nonsense. at least that will be a real step towards uniting nigeria.

After Soludo has worked on strenght, Sanusi focusing on ethics, as his close associates claimed he had confided in them, will not be a bad idea, but he will definitely step on many toes. But if Soludo, with all the death threats he claimed he received for daring recapitalization, could survive, we hope Sanusi would also fearlessly pursue this to its conclusion.

Let's wait and see.

Biina

At the rate Yar'adua's indicisiveness is going, the mantle of leadership might fall on Tunde Lemo

Ernest Ebi who is second to Soludo is dues to step down few days after Soludo