this is such a straitfrwrd issue, dt we dnt nid 2 hassl about. if sanusi was unfair to the C.E.O's(i.e they had capital of ova 1trlln and wer given 70bn), d courts r still alive. i feel wat the sector nids is more professionalism. u cant blame soludo outritly, coruption in banking happens evrywer(take the AIG's example for instance), bt the regulators jus have 2 b mor tightfisted. this is a corupt world, n wat we nid r disciplined ppl who are ready to take over. friday's case, is not an issue of soludo, its a moral issue of discipline

What is presently happening might not attach to wether soludo was effective or not.
wether we like it or not Soludo achieved a lot for this country nigeria. say in the areas of banking, pension scheme or even the stock market.
The removal of the MD's of the five banks is just the begining. out of the ten banks, five MD removed and we ave 11 banks to go. with a bank like oceanic bank and inter mentioned its really a suprise. oceanic bank PLC release their audited financail approved by CBN just last month and there position showed they had bad debt due to margin facilities which is the trend all over the world but still declared PAT of 9bil.Am sorry to say that sanusi is not just in this, cos the bank might ave bad debt aswell as other banks in other countries but there MD's were not removed when the bailout were issued. this action of his will kill the financail sector of this country cos this will cos panic to the heart of depositors and lack of trust in all the banks. I pray this is not a nothern agenda cos if it is , this will ave a bad image on the image of this country and Ya-ardua amnesty plan towards the south - south region.

It also suprises me that youth in this country rejioce over failure like we dont ave a stake atall, we dont even talk with facts. we not illitrate or are we? fact shuld be found in wat we a re sayor sharing cos nobody cares wether u were the first to say it or not (prophet of doom)
BAnks were said to ave liquidity problems and we concluded dat they are going down. it worries me where we are going to if our youth are not empowerd with imformation. we be realistic and sugest the way ahead and not rjoice dat nigerians are going to loose jobs. we ave a future and shuld question every decission our leaders make.

I think is still too early to judge if Soludo administration was a failure or not, because it takes time for the impact of any policy to manifest and it doesnt have anything to do with the fact that he's an economist.

So who is the real enemy of this nation now, Soludo, Sanusi, Yar'dau or you guys fighting each other?

So who is the real enemy of this nation now, Soludo, Sanusi, Yar'dau  or you guys fighting each other?


Lets call a spade a spade Soludo is to blame you don’t ignore what is blatantly gross mis-management it is like a football referee not blowing the whistle in what is a clear cut penalty. If a blind man can see it is a penalty then it is penalty, I am afraid Soludo has no leg to stand. No point massaging the truth with unecessary spin.

It has been long since I last contributed on this forum, but I have been faithful in following up on such topics as this. I will like to break my silence now.

I will be a bit bias here, because I'm with a school of thought that Nigeria is still an ongoing experiment,   This is indicated by the fact that no individual is considered without reference to his tribe, godfathers and religion. People seldom get accessed by what their rationale thinking patterns are.

To this topic,  I will like to look at the whole matter "out of a nut shell" and view from the perspective of a layman, how such move translates to food on my table, children’s education, health care and provision of basic amenities. Believe it or not we do not have a president that seems not to have an agenda nor has any focus on any solution to deal with any issue.

In my opinion, I see this as a wrong move at a very wrong time and it does not appear it was well thought through, just like any other policies by this PDP led government.
This event quickly drew my mind back to the era of Babagida when he closed down National Bank for almost the same reasons, reasons yet to be proven and I see we are making the same mistakes here.

There is no how you want to relate to this but we first have to admit that the disposed CEO’s have loyalist with funds in these affected banks, what do we think will happen if they all decide to move their funds –please try and relate this to what happened to the American economy and subsequently the world economy when the Persians started withdrawing their funds from American banks,  what will happen to the innocent investors and customers of these banks when this happens, what will subsequently happened to the employees and their families of these banks and what will be the consequence of these on the economy as a whole. Don't we think that the 400bn will go down the drain. I would have prefered the 400bn be invested into Agriculture, healthcare, infracstructure and power.

What investor would want to bring money to an economy where a faulty political policy has such grave consequences on his/her investment? And how do we grow when even the indigenes do not trust there is enough or any security to his investment. Who then would not rather invest in Ghana or elsewhere that politicians do not have such powers.

I would have almost been forced to think that these were such considerations that made Soludo trying constantly to be having intelligent dialogue with these CEO’s rather than taking such economic suicidal move as we have just witnessed.

It is not a matter of how many books either of the CBN governors read or what their prior experiences where, I have seen an esu su/aro/a jo moderator/governor with little or no education do a better job than either of them.

Trying to discredit the immediate past CBN Governor on the premise that he was not a banker does not hold water. Other CBN Governors before him were seasoned bankers. What was their achievements? Soludo tried his bit to salvage the banking sector from total collapse. Sanusi will equally peform his magic. Let us see how it works out. This attitude of castigating former chief executives on the ground of non pereformance is unhealthy.

Other CBN Governors before him were seasoned bankers. What was their achievements? Soludo tried his bit to salvage the banking sector from total collapse. Sanusi will equally peform his magic. Let us see how it works out. This attitude of castigating former chief executives on the ground of non pereformance is unhealthy


Those were not proper Governors, they were men under a lot of duress with a gun at their temple, if the Head of state tell them to sleep with their mothers they will gladly do it, to compare Soludo to this “Yes men”, is belittling Soludo.

Mr. KnowAll (abi wetin be your name sef), with this ya kind of name, i wonder why the FGN has not deem it fit to offer you appointment in one of our key sector atleast to find solution to our numerous problems. I have followed ya arguments with every poster here and i have come to realise that people like you ONLY OILED the chain just to keep the machine moving. Infact, we have people like you serving as senators in the National Assembly. These set of Senators have a unique character: They antagonise every bill in the house be it good or otherwise BUT they will NEVER sponsor any bill of their own. Mr. KnowAll i hail you ooo

To those who are very objective here (and not bad soothsayer), i support your view on STRATEGIC CONTINOUS IMPROVEMENT (SCI). This is the transition connecting the era of Soludo to Lamido. Those who read and understand Strategic Management will know what am saying here.

Having said that, sack or no sack, my greatest fear is in Ya'radua Administration. What is happening in the Banking Sector today is just one of the numerous problem in Nigeria economy. I need not mention the Gold medal winning Power Sector, The Silver winning Education Sector and the Bronze winning Health Sector. My people, Ya'radua admistration to be candid, have perform below pass mark (this is no news anyway).
Unless there is credible election in this Country Nigeria, then Nigerians will everly be denied credible governance that has the agressive solutions to the problems in our economy.

On a final note, Mr. KnowAll, i want to honour you with another name today. By the power conferED on me today by nairalanders, i hereby give you another name, MR. PUBLIC TAP (make u continue to dey run ya mouth on Nigeria Public Servants that have credibly served us well against all odds and yet seems to be in ya own black book).

Did i hear say congratulations to him?

On a final note, Mr. KnowAll, i want to honour you with another name today. By the power conferED on me today by nairalanders, i hereby give you another name, MR. PUBLIC TAP (make u continue to dey run ya mouth on Nigeria Public Servants that have credibly served us well against all odds and yet seems to be in ya own black book).

Did i hear say congratulations to him?



The internet is a good thing, with the stroke of our key boards we will bring down corrupt officials in our country, modern day revolution is not won in the battle field it is won at the stroke of a key on the key boards. The earlier you embrace this technology the better for you because you cannot hold it back it has come to stay.

Does That Mean Soludo Was A Failure?

If it took the new Helms man at the CBN only 2 months to uncover the gross deceit in our banks, the efficacy and functionality of Soludo has not only be compromised it has been greatly undermined. His ingenuity which has been at the foreshore of the acclaimed excellence in our financial institution was built on stilt and sand and the reality was a crash that was not only inevitable but a certainty that would have consumed the whole nation in despire and bring down the government.  I think the CBN’s pre-emptive move getting rid of those greedy, bent Bank executives should be seen as exemplary and a first in sub Sahara Africa of the Government carrying out her duty of care to her citizenry. The Government and the board of Directors of the CBN must be commended for this historical feat. 

I think one of the main problem Soludo had was he (Souldo ) was not a banker he was an Economics Lecturer from UNN Nsukka. The post of the Governor of CBN of Nigeria was not only an overwhelming proposition for Soludo, considering the calibre of people in banking it was a case of hypnotic admiration of the Bank executives like Jim Ovia, Eratus Akingbola, Madame Ibru e.t.c   These are individuals of obscene wealth and power in their organisations and will intimidate even the most discerning person. Soludo was like a kid in candy shop, he was hoodwinked by these individuals they called the shot throughout his tenure.

Sanusi on the other hand , knew these guys where just putting up appearance and cooking the books, he was a seasoned banker with a strong emphasis on risk management, he knew all the tricks in the book. He also knew the money been splashed around by these bank executives were not profits the bank made but the share-holders equity. Obliviously the chicken came home to roost on Friday when it was revealed the extent of exposure that some of the banks have let themselves into. He even used the dreaded word Insolvency when describing the dire state of one of the supposed high flying banks.

When Chief executives of firms, company’s or Government departments are change you will expect minor window dressings, but when you have a major shift in policy, a clampdown, or announcement it simply means only one thing the past Chief executive has either failed in its totality or does not have a clue what he is doing I believe it is both the former and the latter.

One good thing positive or should I say negative that came out of all these saga is that the only people who are star-struck and hood-winked are the Nigeria masses at the tremendous wealth soludo has acquired for himself  within the last 8 years not bad for a former lecturer from UNN.

Yesterday, I listened to one of my friends for 20 minutes analyse banking and policies. He did so well that a mere observer would think he was guru in financial analysis. It was very disgusting because had no points and at best turned the points upside down. Just now every idiot in Nigeria calls people names in the guise of financial/ policy analysis. I thought replying to this post was a waste of time. Maybe I still think so

Yesterday, I listened to one of my friends for 20 minutes analyse banking and policies. He did so well that a mere observer would think he was guru in financial analysis. It was very disgusting because had no points and at best turned the points upside down. Just now every idiot in Nigeria calls people names in the guise of financial/ policy analysis. I thought replying to this post was a waste of time. Maybe I still think so



By not heeding to that inner voice that stop u from posting yesterday, only to be lead by that loud voice that made u post today, has not only exposed your lack of view but it has clearly shown u are someone that regurgitate and panders second hand information as a past time. You lack substance tell your friend to post his views.

naijaking1:

You maybe the one on hard drugs here, for all I know and read from reliable Nigerian newspapers, banks such as Oceanic just recently passed their CBN audit, so before you join this stupid talk about insolvency, please check with people in the know.[color=#990000][/color]
Igbos say that if you pull off a tick from a dog without showing it him, the dog would think you were just pinching him out of animosity

So, show me an insolvent bank, show me the hurried need to inject a paltry 400billion into private banks so that you can forcefully take them over in the name of the federal government of Yar'dua.

You know and read "reliably" in the papers that Oceanic just passed an audit and heard "unreliably" from the CBN Governor that Oceanic Bank just failed a stress test/audit.

Please help me understand how and why you chose to believe the reliable newspapers, also maybe you want to tell us who you and what you know. Did you by any chance conduct the audit?

hmmmmmmm, we must hold every public officer suspect until he/she ends her service to the nation and that service is reevaluated after that officer leaves public service. The case of el-Rufai and Soludo should be an example.

please lets b objective ere. on papa, d facts are these:
*some banks av bn exposed to margin loans(these r loans issued 2 buy stoks)
*The CBN removd the executives in order 2 alow othas manage d 400bn loan granted.
@knowall, u cnt say soludo z an outrite failure. before the recapitilasation exercise, banks wer built on shadows. the capital base of most of them wer merely less than a billion naira(£4bn), this is wat some british banks post as annual PBT!!!. the recapitalisation exercise raised the bar to 25bn(£100m). aldou we havnt gotten der yet(standard chartered's capital base is wel wel ova £1bn), were getn sumwer.IF SOLUDO DINT ENGINEER THE RECAPITALISATION, WE WOULDNT BE CRYING OVA 5 SACKED M.D'S, SOME PPL LL NEARLY COMMIT SUICIDE AFTA THE FALL OF OVA 50 BANKS IN DIS GLOBAL ECONOMIC CRISES.
@ EVRY1, der is indiscipline in d banking sector no doubt, i mean hw wud u xplain the N1trn loan given 2 dangote(ds is jus a point nt d begining of anoda argument). C.E.O's nid 2 b more diligent. dey shud run banks lyk d international org's dat dey r and nt lyk beerparlours. a cleanup 4 bank's mgtmnt is gud, bt it shud b folowd up objectiveli. if naija is goin 4rwrd, we nid well didciplined managers dt knw der onoins(take d likes of T.Boone Pickens and d japanese)

cnt say soludo z an outrite failure. before the recapitilasation exercise, banks wer built on shadows. the capital base of most of them wer merely less than a billion naira(£4bn), this is  wat some british banks post as annual PBT!!!. the recapitalisation exercise raised the bar to 25bn(£100m). aldou we havnt gotten der yet(standard chartered's capital base is wel wel ova £1bn), were getn sumwer.IF SOLUDO DINT ENGINEER THE RECAPITALISATION, WE WOULDNT BE CRYING OVA 5 SACKED M.D'S, SOME PPL LL NEARLY COMMIT SUICIDE AFTA THE FALL OF OVA 50 BANKS IN DIS GLOBAL ECONOMIC CRISES.



There is noting but hollow before capitalisation as far as I am concerned,  Nigeria history b4 capitalisation was known existent since the untimely death of democracy in 1983. The country was run by illegitimate people who appointed illegitimate Governors where all kinds of thing under the sun is allowable and possible to compare Soludo’s stewardship to this era in our history will not be fair on Soludo himself. I can remember the Naira been pegged at 80 to 1 to the dollar throughout Abacha’s regime.

He is not a failure - he had the authority but not the power to do so many things. If you recall Yaradua recalled some of his policies

The essence of change in tenures is for different people to come contribute their own quota to the development of the country. Soludo has done his part by attacking the most pressing issues during his time. It is now left for his successor to do more, that does not mean Soludo failed at all.

Can someone please teach Mr. KnowAll how to insert quotes, so that he doesn't have to type the whole thing in his reply?

sanusi got it all wrong. even if d md r found wantingi don't xpect him 2 make d sack a public knowlege considering d parnic it will generate

mr know all, you obviously don't know what you are saying, if soludo had not consolidated banks there would be no MD to sack. this thread is not necessary, every person has a role to play.

Soludo was not a failure. I agree with many posters here, he did a lot, but could he have done more? yes. Let's wait and see what Lamido will do. Just like any institution, banks need more oversight, which has not been tackled yet

naijaking1:

Can someone please teach Mr. KnowAll how to insert quotes, so that he doesn't have to type the whole thing in his reply?

Abi o! It makes you wonder at the accuracy of the ID, "KnowAll".

To call somebody a failure is unfair. Even so when it is a corporate decision. The guy meant well, but the problem with so many theories being taught at Unis is that the recipients often take them without thinking it through. Big Banks does not necessarily means success, rather an entity should be allowed to grow and survive in their environment. Some people can manage small banks and others can manager bigger banks. In the same vein, a small bank can limit their services to their geographical locations and still be successful. So consolidation in essence is a discuss for financial management and banking students. Lesson learn would be useful in how to go about it in future. As to the affected banks, I have a simple scenario for this:

Mr A: Please borrow me N200,000
Mr B: What do you want to use the money for?
Mr A: To gamble
Mr B: What sort of gamble?
Mr A: To gamble on your bank's profitability (shares)
Mr B: You can have the money tomorrow

Mr A: Can I have an advance of N400,000 please
Mr B: Yes you can, but how would you pay, and what collateral do you have?
Mr A: You know the gambling receipts (share certificates) I have from the loan I collected from you?
Mr B: Yes I do
Mr A: I will deposit that with you, and when I win, you can take your money from the winnings and give me the balance
Mr B: Agreed you can have the money tomorrow


The examples are just the type of deals going on in Nigeria banking system.

Hope Mr Sanusi can do us a favour by naming the bank defaulters, and exposed what is going under.

Word of advise. Do not subscribe to any bank shares at the moment. Better if you cash your shares and buy land genuinely. Your investment is not going to vanish overnight, you can sell for profit or use the land for agricultural projects.

The examples are just the type of deals going on in Nigeria banking system


Who is suppose to monitor those deals, if not the CBN Governor and his board of directors and he failed flatly in delegating, monitoring, supervising and enforcing laid down rules and regulations.

@ KNOWALL
      Sincerely, i must say that you sound like a cheap man paid to promote Sanusi administration. What you fail to understand is that running  CBN goes beyond banking but, has a lot to do with the economy of this dear country.

Look at the history of this country and you will see that a lot of policies upon policies has been dramatized but, still made no impact in the life of Nigerians.
There are  lots of work to be done in the Nigerian financial sector. Soludo did his part of the work does not mean that all the work is finished. So, Sanusi should stand up to do his own part and hand over to the next person to continue.  The work never finishes,

We recognise and respect SOLUDO for putting up a change in the financial sector that was felt by even a common man in this country.  Banks function more than before. I welcome the action of Sanusi towards these banks and i will say more greeze to his elbow but, that does not mean that he has earned a "V" sign cos he still have a long way to go. If his policies did not strengthen our financial institution the more, if his actions are not felt by a common man in this country, then all his drama will end up as Nigerian usual dramatized unfruitful policies.

Man Mr Know All is an idiot, I swear. CBN governor is supposed to be an economist, usually a doctoral economist. The problem with bankers is that they are usually clueless about macroeconomic policie, and would find it difficult to measure the impact of their decisions on the economy. Thats why it might be likely that Soludo could have noticed the stumbling structure of these 5 banks in nigeria but tried to prop them up instead of exposin their ass quickly. Sanusi behaved like a banker, and fired the 5 CEOs like he would if he was in a bank. Firing people would not improve confidence in the bank which is what the banking sector needs.

“You only find out who is swimming naked when the tide goes out.” - Warren Buffet.


Even though the consolidation  had some positives, truth of the matter is that it was built on sand. First of all, Soludo in his attempt to create formidable bank structures created institutions that were to big to fail. The problem with naija people is that we want to put the carriage before the horse. Soludo wanted to create giant banking behemoths which would be a pillar of strength to the economy. He forgot that the fundamentals of the banks were not sound and that they were no adequate internal controls in the banks so this guys were grossly cooking the books and basically running a ponzi scheme like Bernard Maddoff. The capital requirements for banks should lowered so as to allow for the emergence of more banks as a means of creating competition in the banking industry. 

Nigerians want to become like America in one day, they forget that as America's economy grew so did the banks. They were not all artificially propped up one day (consolidated) at the request of the central bank.  We seem to wonder why HIV is on the rise in naija. What else do you expect when girls have to sleep around so as to make a certain unrealistic quota or else they would get fired. Useless country. Prof. Soludo should go back to the class room and leave the financial system to the real bankers (the finance guys).

Man Mr Know All is an idiot,

To use such word as displayed above as the opening gambit to an argument shows the dept of how low you are intellectually, to equate your IQ with normal human beings will be a diservice to the wild animals roaming the sarangetti in Kenyan. It is apparent the animalistic instict in man that has been in extinction for centuries is still intact in your mind, your body and soul.  I just hope the culture, courtesy, and civilty of the host nation you are hibernating will rob off  on you with time. You can beg to differ but to call people names is uncalled for.