Why you shouldn't pity the bank
Period before the current banks situation. The Nigerian bank was robust, full of life and was considered one of the most advanced sectors in Nigeria's economy. Year in Year out billions are posted on the there annual reports. Everything was fine. Gtb set aside about 20billion naira for miscellaneous. That should be a sign of a very healthy company. Everything seems fine
The introduction of TSA, and the halt in payment of subsidy and blockage of corruption by the current administration came into full swing in 2016. Am shocked the once vibrant Nigerian financial industry is a shadow of itself. Only in one year. What a pathetic situation.
As much as the industry is in shambles and a lot of people will/have lost there job, but I am not in anyway sorry for the sector.
The Nigerian banking sector thrives on corruption, bad investment decision and one sided economic policies. I live at lekki-ajah axis in Lagos. You need to see the amount of empty estates in the area. Nigeria banks believe in building estate has an investment. In a parallel world, real estate is a cool business. Mortgages are available for the people for up to 35years. The payment option is flexible and transferable. In our case you are expected to pay once, if a form of mortgage is available it is not flexible and mostly over priced. Imagine a civil servant receiving an annual income of 2.4million naira (200000 every month), how do you expect him/her to have 7million for a 2 bedroom flat at agege for 2years mortgage( and you don't want him to steal). There major customers are oil thieves, super rich civil servant, corrupt government officials and sometimes yahoo boys. The banks in Nigeria only give loans to the rich and famous. They help the politicians loot the Nigerian treasury with ease and perfection in as much as they can get something out of the deal. All those practices of cheap money and laziness has been cut/stopped by this administration, now they are crying. Banks in diaspora help SMEs
grow their business to become a real player in the economy. In our case if you are not dangote, otedola etc you can't get finance. The banks should be booed for there corrupt and lack of depth. They have no moral justification to sack workers.
Solution
The banks should lead in the FG's effort in diversification of the economy. They should invite young and intelligent people to partner with in the areas of agriculture, ICT, human capital development and innovation. Without a proactive financial sectors the country is going no where. They should run a partnership with SMEs by providing soft loans or equity for them. The SMEs are the blood of the economy. People,groups and businesses grows a nation not government. The age of free money and wastage as gone. Wake up from your slumber. Your solution is not massive sacks of innocent Nigerians. Blame yourself for your current situation
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