It is obvious that Soludo and Sanusi have run things at the CBN very differently:

SOLUDO: _{When he took mantle of leadership in CBN}
Saw a very weak system. He hit the ground running in no time. Restructured the system in no time.

Nigerian Banks were stronger, haring, selling shares, giving loans, new businesses springing up, giving bonuses to shareholder, establishing branches, private and government projects were executed, investments from within and outside, I even saw a lot of guys doing seminars - writing books on stocks - making cool cash, opportunities and hopes everywhere, the going was just good.

When he was done, thinks were just fine.


SANUSI:_{When he too took mantle of leadership in CBN}
After after a careful look including the observations he had when he was at First Bank, he saw that although this house is well designed, booming, painted and more, that there were some bricks that make up this house that has falling. There were not missing because those that leaved in that part of the building gave them to some people but have not been returned. I hail Sanusi for observing this.

But instead of him getting whoever that gave/took this bricks to return them - and keep building and painting this great house (economy) of ours, he rather came in front of the house and shouted started shouting - "all the people living in this complex, do you all know that most of the blocks used in building it have been borrowed out or stolen!"

What do expect the residents to do, hell run! People started disposing their stocks, the prices started falling, banks started relieving workers, borrowing stopped, so was investments, and others. Now its banks chiefs loosing their jobs, CBN boys taking it over, CBN investing some money, now owning the banks (as major shareholders), London firms investing funds in three banks for development (now they too are stakeholders - they too now have a say).

yeah! reports also have it that THE EUROPEAN UNION COMMISSION loaned the sum of 330 million dollars to FIRST BANK and an undisclosed amount of money was also loaned to Guaranty Trust Bank. I smell a rat somewhere!

Soludo sure re-structured the banking industry but he failed in tackling the issue of institutionalized corruption.
Sanusi did just that in addition to more re-structuring. He gets my vote any day.

Please cast you VOTE at the top this page.

Sanusi should have been far better that Soludo if he built on what Soludo left behind. But he chose to put down the building and build his. Now that is not helping us in general.

How can you cast a vote when the question is rigged?

Stop all this childishness.

Both Soludo and Sanusi did/are doing a good job.

sanusi did a gr8t job but sacking 5 bank chiefs and bringing unstability into the stock market is not a child's play. All eyes on sanusi. He has to be very careful. He is not working in the united states but in Nigeria where everything is possible.

Ijele-igbo:

sanusi did a gr8t job but sacking 5 bank chiefs and bringing unstability into the stock market is not a child's play. All eyes on sanusi. He has to be very careful. He is not working in the united states but in Nigeria where everything is possible.

Actually the instability of the stock market and the banking crises started when Soludo was even there. WE all remember how Intercontinental Bank was running helter skelter when it shares crash to near negligible value and it forced Soludo to comeout and make statement that all Nigerian banks are healthy and strong. Sanusi met dying horses

Ibime:

How can you cast a vote when the question is rigged?

Stop all this childishness.

Both Soludo and Sanusi did/are doing a good job.

I was thinking you will suggest one. Am very dynamic. And when two people have done well its not bad to compare them. Sanusi still have time to do more, but have done a lot so far to attract assessment.

Ibime:

How can you cast a vote when the question is rigged?

Stop all this childishness.

Both Soludo and Sanusi did/are doing a good job.

Peak of childishness. What is the essence of asking us to vote when you campaigned for one candidate. That is the question rigging.

Jarus:

Peak of childishness. What is the essence of asking us to vote when you campaigned for one candidate. That is the question rigging.

Who is childish - Sanusi or Soludo. Because if you want to pick a fight with me, it will be very difficult. Everyone has one vote and you can also reply your comment here.

But its like the only expression you have to post is and insult on my person. So between Sanusi & Soludo who is more progressive in approach as CBN governor?

The post is biased!

Boys chill, Osadebe si na ebuaria egwu, ebuaria onodi

FG Demands CBN’s Blueprint on Bank Reforms
•Sanusi: Stakes in rescued banks to be sold by May
By Emele Onu, 02.12.2010

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The Federal Government has asked the Central Bank of Nigeria (CBN) to furnish it with the blueprint on the banking reforms to allow assessment of the direction of its policies and also ensure that they are in line with government’s long-term economic programme.

The Minister of Finance, Mr Remi Babalola, who disclosed this in Lagos yesterday, said: “We want a blueprint of the reforms to know where the CBN is headed and more importantly be sure that actions are not just taken ‘as the spirit directs’.”

The minister said the government was fully in support of the CBN reforms in line with its strategic focus on the growth and development of the economy but added that government was trying to back the CBN to the extent that its (CBN’s) actions do not jeopardise the confidence level in the economy.

Meanwhile, the CBN Governor, Mallam Sanusi Lamido Sanusi, said yesterday that the CBN might conclude the sale of stakes in some of the country’s rescued lenders by April or May this year, according to a Bloomberg report.
“Some transactions could be concluded by April or May. It is not a shot-gun marriage. These things happen as they come,” he said.

The central bank wants to complete the process by the end of the year at the latest, Sanusi said.
Sanusi, had, in his keynote address at a conference in Lagos, presented for the first time the total package of the banking sector reform programme.

He said the reforms are encapsulated in four pillars: the enhancement of the quality of banking; guarantee of financial stability; ensuring healthy financial sector evolution as well as ensuring that the financial sector contributes to the economy.
The CBN, said Sanusi, would next month as part of the reforms programme issue fresh guidelines on margin lending and other rules that would strengthen supervision.

Babalola disclosed that the Federal Government had in the past abandoned some crucial decisions to the CBN in the name of protecting its autonomy, adding that the situation contributed to the crisis in the sector. He said the government would “now be more involved”.

Beside its plans for the banking system, the minister said the capital market would be completely overhauled within the next few months to make it function better.

The CBN governor said in addition to the changes introduced in the banks by the reforms, the apex bank is improving its structure, systems and processes to enable it drive the transformations anticipated in the new era.

Sanusi disclosed that CBN had entered a relationship with some foreign institutions for the development of its personnel, adding that it had also put in place a system that ensures that disclosures, as required for banks exist at the apex bank.
The governor reiterated the plan to segment the banks along market, geographical and specialist lines, with different levels of capitalisation.

He said the regulator would also ensure regular meetings of the Financial Sector Regulator Committee which he noted had not met for three years, adding that the CBN might regulate proprietary trading in a bid to avoid a repeat of last year's banking crisis.
According to the governor, the Federal Government would continue to give its support to the apex bank. He debunked rumours that the Acting President, Dr. Goodluck Jonathan, had ordered a review of the CBN Act or BOFIA.

Sanusi noted that regulatory lapses had allowed liquidity to flow into capital markets at the expense of the real economy, which he said divorced the banking sector from contributing to the economy.
To correct the trend, he said, the CBN would pursue a robust monetary policy with the aims of stable foreign exchange rates, single-digit inflation and low interest rates.

The CBN is working with the Ministry of Finance, relevant Federal Government agencies, the state governors as well as the banks to ensure enabling operating environment for the real sector and that banks actually lend that rector, Sanusi said.
The central bank needs to champion direction of economic policy, he added.

Sanusi further disclosed that the central bank was working with the finance ministry on developing the use of market instruments to hedge against oil price volatility.
On the recapitalisation of the banks, the governor said two interested investors were interviewed last Wednesday, adding that the CBN had received expressions of interest for all of the banks rescued in last year's bailout.

On the proposed assets management company, Sanusi expressed optimism that the legislation would be passed by the end of this month, adding that the monetary authority would meet with the legislative arm to ensure the quick passage.

He said the company would need N1 trillion to buy up all the bad loans in the system, adding that AMC is key to making the banks attractive to the new investors.

The governor said the CBN was pushing for the presidential approval for tax relief aimed at helping the development of the fledgling corporate bond market, which would enable banks to raise cheaper long-term funds and engage in longer-term lending.
The acting Managing Director of the Nigerian Deposit Insurance Corporation (NDIC), Mr Umaru Ibrahim, said the corporation was also strengthening its systems to cope with the challenges of supervision.


He said the body was considering reviewing the insurance coverage of deposits upwards, stressing that there had been requests to review it to N10 million for universal banks and N5 million for microfinance institutions.

----Thisday newspaper

egift:

It is obvious that Soludo and Sanusi have run things at the CBN very differently:

SOLUDO: _{When he took mantle of leadership in CBN}
Saw a very weak system. He hit the ground running in no time. Restructured the system in no time.

Nigerian Banks were stronger, haring, selling shares, giving loans, new businesses springing up, giving bonuses to shareholder, establishing branches, private and government projects were executed, investments from within and outside, I even saw a lot of guys doing seminars - writing books on stocks - making cool cash, opportunities and hopes everywhere, the going was just good.

When he was done, thinks were just fine.


SANUSI:_{When he too took mantle of leadership in CBN}
After after a careful look including the observations he had when he was at First Bank, he saw that although this house is well designed, booming, painted and more, that there were some bricks that make up this house that has falling. There were not missing because those that leaved in that part of the building gave them to some people but have not been returned. I hail Sanusi for observing this.

But instead of him getting whoever that gave/took this bricks to return them - and keep building and painting this great house (economy) of ours, he rather came in front of the house and shouted started shouting - "all the people living in this complex, do you all know that most of the blocks used in building it have been borrowed out or stolen!"

What do expect the residents to do, hell run! People started disposing their stocks, the prices started falling, banks started relieving workers, borrowing stopped, so was investments, and others. Now its banks chiefs loosing their jobs, CBN boys taking it over, CBN investing some money, now owning the banks (as major shareholders), London firms investing funds in three banks for development (now they too are stakeholders - they too now have a say).

so what happened between Soludo leaving and Sanusi taking over that caused 'just fine' to become 'falling'?
You cant eat your cake and have it. Its either Soludo left behind a mess or Sanusi lied about the state of the banks when he took over.

lol, the preamble to the questions are biased against sanusi, but the poll question is still fair. You can decide to agree with the preambles or not. Vote your true feelings.

egift:

Sanusi should have been far better that Soludo if he built on what Soludo left behind. But he chose to put down the building and build his. Now that is not helping us in general.

Idio/t. . . .So you are suggesting that Sanusi destroyed what Soludo built. . .
What did Soludo even build?
Can you explain further?
By the way, your poll is flawed. . .Only retards like you will vote when like others have said, you are biased from the jump!!!

when you reform, reform, reform and try to even reform the reform.

Then you simply create an atmosphere of unpredictability and unsustainablility

No business or economy likes that.

When the economy reacts to such uncertainties we say what we are seeing is some kind of "immaginary huge failure" that would have been worse if not for the actions taken. Meanwhile the actions taken caused the problem and panic in the first place.

This is why it is so easy to be a fake messiah in Nigeria.

As Sapeleguy will put it.

If you want a book on how to ruin a Nations economy in 7 days ask Sanusi Lamido Sanusi

Now the latest gist is reclassification of Banks: how is this not the return of banks who collect people's monney and disappear into thin air because the owners of such institutions have more to gain by going into liquidation after collecting people's money than remaining in business.

op is a typical nigerian, preffering to live in a house of cards rather than face the truth

it was clear to anyone that intercontinetal was a dead bank walking - why else did akingbola make a run for it. my wife uses intercontinental and i will continue tio harp on it - the bank attempted to force depositors to raise minimum bank balance from 5k to 10k. they sent txts to all account holders. thats how desperate their liquidity crisis was.
we all know the truth of the matter - what business does a gworo chewing fulanu muslim have ruing the apex bank? he should be off herding some cows and leaving the reforms to the big boys of yoruba/ibo/christian lineage

wonder which banks all these sanusi bosoms use

If you want a book on how to ruin a Nations economy in 7 days ask Sanusi

as informed minds would put, if you want a true picture of things and not a collection of cookded books and figures -you know who to call

those sacked 'bankers' are the biggest disgrace to the ndustry to walk the plaet - they took 25 billion on cash and blew it on advertising and toxic loans

Dangote's Loan Repayment
4 February 2010

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editorial

Lagos — THE recent repayment of a $1.28 billion (N188bn) loan by the Dangote Group to a consortium of 10 Nigerian banks ordinarily should be commendable, but it sets a dangerous precedent for the business community in an economy such as Nigeria's.

The Dangote Group, in 2008, took the facility from the banks to enable it fund its cement company, which value was put at $3.5 billion. The Group funded the difference while the facility was to run for seven years before its maturity in 2015.

The loan was deployed to build cement factories and infrastructural facilities including power plants and housing estates and to procure mining equipment. The plants are located at Obajana in Kogi State and Ibese in Ogun State.

At a ceremony to announce the repayment of the loan, the Group's President, Alhaji Aliko Dangote, hinged the early repayment on their resolve not to owe any Nigerian bank.

"The Dangote Group is embarking on consolidating our cement assets in line with our strategy to consolidate our Nigerian assets. As a result of this, we have decided to repay the $1.28 bn (N188bn) loan facility we took in May 2008 from a consortium of 10 banks. Although the loan is due to mature in 2015, we have decided to liquidate the loan five and half years ahead of schedule in line with our vision and strategy to consolidate our assets and to ensure that Dangote cement does not owe any Nigerian bank.

"We have decided to put our money where our mouth is, with the aim of making Nigeria's economic development a reality," he added, noting that "destiny demands that we play a critical role in job creation, developing skills, and boosting our Gross Domestic Product (GDP)."

For a loan that has a life span of seven years to be repaid within 20 months is no mean feat and the achievement should therefore, indeed, be commended. It is commendable given that in recent times it had become the trend for some individuals and organisations to take such loans and default when the facilities mature.

Commendable as the Dangote Group's gesture is, however, it is worrisome that the loan is being repaid far ahead of its maturity and our worry stems from the wrong signals such a move will send and the danger which the feat portends for a growing economy like Nigeria's.

For one, it sends the wrong message to entrepreneurs, that there is something wrong with using loans to grow businesses. Some might as a result, think that owing banks in itself is a sign of distress or failure. Secondly, the Dangote Group's move might, rather than helping the economy, be actually anti-economic growth.

We say so because the facility, now repaid, could have been used to further grow the Dangote Group's business empire and more properly position it for more jobs creation and the expansion of the country's Gross Domestic Product.

The nation's economy cannot recover from the effects of the global meltdown if its productive capacity is not revived and sustained. While small and medium scale enterprises play critical roles in every economy, the fact remains that the little growth being recorded in the manufacturing sector is attributable to the efforts of such concerns as the Dangote Group.

The failure of most privatised companies and the crippling of small and medium firms have led to widespread unemployment, and constricted the economy while promoting mass poverty and engendering insecurity of lives and property.

It is believed that organizations that have a track record of performance, like the Dangote Group would deploy such facilities as the $1.28 billion loan in such a way as to significantly advance the nation's economy. Yet, the Group went ahead to repay the facility just 'to ensure that Dangote cement does not owe any Nigerian bank.' Business and loans are like siamese twins- inseparable- and should not be avoided, especially for genuine investors and time-tested industrialists.

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Nothwithstanding the unprecedented step taken by the Dangote Group, we are compelled to urge the Nigerian business community to go ahead and proactively engage Nigerian financial institutions through seeking loans and other facilities to run their businesses and grow the economy.

It is regrettable that some genuine entrepreneurs are today running away from the banks on account of the on-going sanitization of the banking sector which led to the 'name and shame' strategy, which sullied the image of some businessmen who were doing genuine business with loans taken from the banks.

Growing the economy would entail that bank loans would be taken, deployed and repaid when they mature. But the 'name and shame' tactics of the apex bank appears to be scaring off genuine individuals and organisations and compelling the unduly hasty repayment of loans that are not yet mature.

While we are not suggesting that the Dangote Group was compelled to repay its loan earlier than the scheduled date, we advise the CBN to pursue the on-going banking sector reforms with some more caution

ours is now an economy where it is now an offence to borrow from banks in other to finance business growth and expansion

Only God knows what some folks think are the role of banks in a country's economy

Soludo is a pragmatic economist who came to stabilise the banks and make them bigger to be able to run mega transactions,he also formulated some very sound monetary policies that saw Nigeria having a hefty foreign reserves

Sanusi is just a vindictive crook with a hidden agenda to steal some of the banks and sell same to his friends,but thank God Goodluck is now the president and he is not like Yar Adua that was too sick to call sanusi to order,Sanusi will soon run into troubled waters

rasputinn:

Soludo is a pragmatic economist who came to stabilise the banks and make them bigger to be able to run mega transactions,he also formulated some very sound monetary policies that saw Nigeria having a hefty foreign reserves

Sanusi is just a vindictive crook with a hidden agenda to steal some of the banks and sell same to his friends,but thank God Goodluck is now the president and he is not like Yar Adua that was too sick to call sanusi to order,Sanusi will soon run into troubled waters

You are a barking rapid dog. . .
I read somewhere today that Goodluck Jonathan gave Sanusi's reforms full backing. . .
How does that sound to you

rasputinn:

Soludo also formulated some very sound monetary policies that saw Nigeria having a hefty foreign reserves

I think you'll find that creating an excess crude fund to be convertible to foreign exchange reserves was instituted by the Ministry of Finance under Iweala, and not the CBN.

^^^^

u beat me to it - na wa for our vociferous internet economists

soludo built ''mega banks'' but didn't monitor them adequately, thus nigeria biggest problem(corruption) crept in the form of corporate corruption.
sanusi duely tried saving the banks from ''supposedly collapse'' and this he did(still doing)with brute force.

Now in the name of lack of corporate governance, akingbola, ibru, atuche and co are being prosecuted.
Staffs of banks both healthy, satisfactory, shaken and what have you have been laid off.

But my crux of the whole issue is, why would a ''CBN administered'' intercontinental  bank lay off staff(not contract staff) with years of service to the bank and say they are not entitled to any gratuity or benefit. Definately that is not cooporate governance nor a sign of Integrity as claimed by SLS and Mahmoud Alabi(new MD of INTERCONTINENTAL BANK).[color=#990000][/color]

and there are so many atrocities that is being done against those of us that were disengaged last year.

usbcable:

soludo built ''mega banks'' but didn't monitor them adequately, thus nigeria biggest problem(corruption) crept in the form of corporate corruption.
sanusi duely tried saving the banks from ''supposedly collapse'' and this he did(still doing)with brute force.

Now in the name of lack of corporate governance, akingbola, ibru, atuche and co are being prosecuted.
Staffs of banks both healthy, satisfactory, shaken and what have you have been laid off.

But my crux of the whole issue is, why would a ''CBN administered'' intercontinental  bank[b] lay off staff(not contract staff) with years of service to the bank and say they are not entitled to any gratuity or benefit.[/b] Definately that is not cooporate governance nor a sign of Integrity as claimed by SLS and Mahmoud Alabi(new MD of INTERCONTINENTAL BANK).[color=#990000][/color]

and there are so many atrocities that is being done against those of us that were disengaged last year.

Your entitlement when laid off is a function of the reason you were laid off and the terms of your employment e.g. when you are fired for malpractices you usually dont get anything (and that obtains in most parts of the world)

^^^^

dude, you missed it there

usbcable is right. the process of laying off staff that these banks are following is disgraceful.

this is not a case of dismissal, and as such workers are enititled to diengagement benefits.

in som ways, the actions of the new helmsmen make me wonder if nigeria wil ever progress - these are the sorts of actions we can expect from any Nigerian company when they are laying off workers

oyb:

^^^^

dude, you missed it there

usbcable is right. the process of laying off staff that these banks are following is disgraceful.

this is not a case of dismissal, and as such workers are enititled to diengagement benefits.

in som ways, the actions of the new helmsmen make me wonder if nigeria wil ever progress - these are the sorts of actions we can expect from any Nigerian company when they are laying off workers

I have not said that they are not entitled to anything, but that one cannot just assume that they are.
Unless you have seen their dismissal letter that states why they were dismissed, and their employment contract that states that they are entitled to the benefits, you position is baseless.

Unless you have seen their dismissal letter that states why they were dismissed, and their employment contract that states that they are entitled to the benefits, you position is baseless.

you are confusing dismissal with being laid off.

anywhere in the world, businesses lay off staff because of changes in business strategy, or as a means to remain profitable.

'dismissal' as you so glibly call it is termination of employment based on misconduct.

i know people n the industry, and i'm sure you've also heard some of the stories

you come into the office, you can't log on to your system - means you're out - is that a professional way to disengage an officer? apparently some banks actually deployed mobile policemen . thats just wrong - and t speaks very badly of you as an organisation, though i'm not surprised - any wholly run nigerian business is really a fiefdom

last year, zain laid off some of their workforce - they were restructuring
the disengaged staff got 6 months basic salary, free airtime for the rst of the year, and their health insurance would last to the end of the year that is how professional., responsible companies restructure.

laying off comes with ts own financial implications

yes i also support sanusi, but this is wrong.

typically, once u have worked 5- 10 yeas in an org, you aqre entitld to some form of gratuity if you have a termination not based on misconduct

usbcable, its just that this is nigeria, but me, i'd advise ya'll to form a aegis and take your former employers to court.

Feel free to be pedantic. The general phrase will be termination of employment (happy?), and their entitlements remains a function of the reason for termination and the terms of employment (including labor laws).
That Zain paid off some of their staff does not mean every company is required to do same. Like I said earlier, unless you are in the know of the terms of employment and reason for termination, you cannot conclude that the company acted unlawfully.

Pension and gratuity applies when you retire and  not when your employment is terminated.

Notes:

Nigeria Labor Act.
11. (1) Either party to a contract of employment may terminate the contract on the expiration of notice given by him to the other party of his intention to do so.
    (2) The notice to be given for the purposes of subsection (1) of this section shall be-
            (a) one day, where the contract has continued for a period of three months or less;
            (b) one week, where the contract has continued for more than three months but less than two years;
            (c) two weeks, where the contract has continued for a period of two years but less than five years; and
            (d) one month, where the contract has continued for five years or more.
    (3) Any notice for a period of one week or more shall be in writing.
    (4) The periods of notice specified in subsection (2) of this section exclude the day on which notice is given.
    (5) Nothing in this section affects any right of either party to a contract to treat the contract as terminable without notice by reason of such conduct by the other party as would have enabled him so to treat it before the making of this Act.
    (6) Nothing in this section shall prevent either party to a contract from waiving his right to notice on any occasion, or from accepting a payment in lieu of notice.
    (7) All wages payable in money shall be paid on or before the expiry of any period of notice.
    (8 ) If an employer gives notice to terminate the contract of employment of a worker who has been continuously employed for three months or more, the employer shall not be liable under this section to make any payment in respect of a period during which the worker is absent from work with the leave of the employer granted at the request of the worker.
    (9) In the calculation of .a payment in lieu of notice, only that part of the wages which a worker receives in money, exclusive of overtime and other allowances, shall be taken into account.

20.  (1) In the event of redundancy-
            (a) the employer shall inform the trade union or workers' representative concerned of the reasons for and the extent of the anticipated redundancy;
            (b) the principle of "last in, first out" shall be adopted in the discharge of the particular category of workers affected, subject to all factors of relative merit, including skill, ability and reliability; and
            (c) the employer shall use his best endeavours to negotiate redundancy payments to any discharged workers who are not protected by regulations made under subsection (2) of this section.
    (2) The Minister may make regulations providing, generally or in particular cases, for the compulsory payment of redundancy allowances on the termination of a worker's employment because of his redundancy.
    (3) In this section "redundancy" means an involuntary and permanent loss of employment caused by an excess of manpower.

to make it clearer, our letters has the following details:


DISENGAGEMENT
We regret to inform you that your services will no longer be required with immediate effect.

In accordance with the terms of your employment, you will be paid one month basic salary in lieu of notice in addition to other benefits which you are entitled to (if any).You will however be advised of the position of your terminal account as soon as this has been computed.

Management has also approved that you should be paid three months basic salary as ex-gratia.

Please hand over all the Bank's assets in your possesion to Human resources department.

We thanks you for the services you have rendered since you joined the Bank, and wish you success in your future endeavours.

Yours Faithfully,
[/b][b]Intercontinental Banks Plc[/b]

[b]Habila Amos
Head,Human Resources