₦airaland Forum

FG may acquire shares in 9 rescued banks
Written by Mohammed S. Shehu, with agency report   
[Minister of Finance]

Minister of Finance
Federal Government may acquire shares in some of the nine troubled banks recently rescued with a N600 billion bailout in the last two months if the institutions fail to recapitalise or find buyers, but are deemed systemically important, the government said yesterdays.

The Finance Ministry said while trying to build confidence in the banking sector, it would aim for successful bank restructuring which would entail preserving the payment system, ensuring there are functional banks and making sure troubled assets are managed and disposed off appropriately.

“In the event that some of the affected banks are unable to recapitalise and successfully go through a merger and acquisition, the government may acquire shares in such banks, if they are deemed systemically important,” the ministry said in a statement made available to international news agency Reuters.

“Thereafter, government equity will be sold at the earliest possible opportunity.”

Central Bank Governor Lamido Sanusi told Reuters in August his preferred option for the first five banks rescued would be for them to be purchased by other financial institutions.

The Central Bank has injected nearly N600 billion in the nine banks and sacked their senior management for recklessly granting loans and lax governance that left them so undercapitalised they posed a systemic risk.

The bank executives are that of the Union Bank of Nigeria, Intercontinental Bank Plc, FinBank Plc, AfriBank Plc and Oceanic Bank International, Bank PHB Plc, Equatorial Trust Bank Plc and Spring Bank.

The Finance Ministry and the Central Bank have repeatedly said no Nigerian bank would be allowed to fail.


FG may acquire shares in 9 rescued banks
Written by Mohammed S. Shehu, with agency report   
[Minister of Finance]

Minister of Finance
Federal Government may acquire shares in some of the nine troubled banks recently rescued with a N600 billion bailout in the last two months if the institutions fail to recapitalise or find buyers, but are deemed systemically important, the government said yesterdays.

The Finance Ministry said while trying to build confidence in the banking sector, it would aim for successful bank restructuring which would entail preserving the payment system, ensuring there are functional banks and making sure troubled assets are managed and disposed off appropriately.

“In the event that some of the affected banks are unable to recapitalise and successfully go through a merger and acquisition, the government may acquire shares in such banks, if they are deemed systemically important,” the ministry said in a statement made available to international news agency Reuters.

“Thereafter, government equity will be sold at the earliest possible opportunity.”

Central Bank Governor Lamido Sanusi told Reuters in August his preferred option for the first five banks rescued would be for them to be purchased by other financial institutions.

The Central Bank has injected nearly N600 billion in the nine banks and sacked their senior management for recklessly granting loans and lax governance that left them so undercapitalised they posed a systemic risk.

The bank executives are that of the Union Bank of Nigeria, Intercontinental Bank Plc, FinBank Plc, AfriBank Plc and Oceanic Bank International, Bank PHB Plc, Equatorial Trust Bank Plc and Spring Bank.

The Finance Ministry and the Central Bank have repeatedly said no Nigerian bank would be allowed to fail.


http://www.weekly.dailytrust.com/index.php?option=com_content&view=article&id=1457:fg-may-acquire-shares-in-9-rescued-banks&catid=40:cover-stories&Itemid=26

NO MORE 7-POINT AGENDA BUT ONE (NORTHERN PEOPLE'S AGENDA). A fool should be able to discern where these people are heading to. From the appointment of Sanusi Lamido Sanusi to the CBN reform. God will save our country.

Congrats to Ghana, congrats to Africa and congrats to the black race. And a big lesson to Nigeria that football is never won by mouth but by adequate preparation and well organisation.

It was reported on FRCN network news tonight that Nigeria has been elected to the non-permanent seat of the the United Nations Security Council,

sapphire01:
u boarded an 'aerocontractor flight' in the early 90s, i bow o. days of nigerian airways

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I am not too sure there is aerocontractor in Nigeria then. I served in 1992/93 service year in Enugu. We camped at Awgu Camp. May be poster has forgotten the airline she used. What do you think?

I foresee that this on-going bank reforms have the tendency to bring about serious economic melt down impact on our economy. Banks will no longer be induced to finance manufacturing activities (thus lowering productivity) and also shares are adversely reacting to the current situation. In fact, investment has been totally discouraged. Where are we going?

May his soul rest in peace. He gave his best to his fatherland as his name connotes. I can still visualize his performance in those Green Eagles/IICC days. We have lost a star. May the good Lord grant the family the fortitude to bear this irreparable loss. Adieu BEST !

Half time score line is 0-1. May God save us from a worse disgrace in the second half.

Wishing Nigeria the very best of luck at least in this category!

With the spate of crime in this nation, I don't think it will be out of place to legalize individual ownership of arms. If we are all armed it might not be easy for some disgruntled elements to be taking the rest of us for a ride.
You couldn't believe that from information I had from some colleagues this morning, these kidnappers have extended their scope to even low income brackets demanding for ransom as low as NGN30,000 or thereabout. Where are we going?

It may sound odd to some people, but to me, I am still very skeptical about the sincerity of purpose of the CBN governor on this 5 banks issue. Looking at the controversial figures and even inaccuracies on the list of debtors, one cannot totally see any seriousness on the part of those who are claiming to be performing regulatory functions as well. How on earth is Ali Dangotte the same with Aliko Dangotte? or Delta Steel Company the same as Delta State Government. We keep our fingers crossed until we see the end of the drama.

Please can something be done to stop our commercial banks from extorting us. A case at hand is a demand by Intercontinental Bank for N500 before a "mandatory" switch over of use of current ATM card to what they call a more secure "CHIP and PIN" card. They claimed that the current ATM card will be deactivated by 30th September. However, for the same resource Zenith bank sent me a mail to register for it FREE!

Mine was NEC but can't recollect the model number again

The man should just retire to jail. No more, no less

I am equally in my early 40's and I do not see anything spectacular about Buhari. He is too sentimental about religion and ethnicity. The man is unnecessarily desperate to rule again. He should go and rest because I don't see any chance for him. He is a religion fanatic and such does not deserve to rule this country again!

Happy Birthday in Arrears please! Wishing you many happy return of the day, long life and prosperity!

NEVER! Homework is not a waste of time for primary school children but rather it complements whatever they are doing at school. It is very necessary in so many ways such as keeping them busy at home, developing them to be studious and giving them better comprehension of whatever they might have been thought at school as parents can also come in to their aid.

I am of the opinion that what these people are doing is perfectly in order. We need to be mindful of our lives. I thumb up for them, they should keep it up since it is for our own benefits.

The chairman must have been using a "remote control" on these dis-honourable men. That's is my own feeling

@poster
You are welcome as well as other new nairalanders. By the way you have not answered Seun's question. How did you know about NL?

It looks like nothing can satisfy we Nigerians. Why not let us give this new approach a benefit of doubt first. If we have better suggestions we can equally bring them forward either by writing them in the dailies or submitting our own proposals to them one way or the other. Personally, I don't have faith in Iwu any longer also but I still believe the introduction of electronic voting is not a bad idea.

I am also indifferent. In most cases, however, I drive with my shoes on. I think it is good to train oneself with both approach.

Na wa ya oh!
Imagiine what their re-branding cost alone has been gulping since the unending change of names from Econet to Vodacom, Vodacom to V-mobile, V-mobile to Celtel and Celtel to Zain.
Wishing the company all the best.

I read that the man left over $300Million debt and that he applied for loans under 20 fake names in his desperation to have money
See Sunday Punch of yesterday (5th July) for details.

A big time day-dream and political propaganda!

NGN210/Euro today 6th July, 2009 in Awka, Anambra State

Duration will depend on the individual, i.e. YOU
I am an ICAN member and I know that our professional students have up to 10 years from the date of their registrations to pass all the stages of the professional exam and qualify as a chartered accountant. The exams is twice in a year (May and November) for ICAN and this is to say that a very serious and brilliant student can pass two stages in a year and in two or three years, he is done. Wishing you the very best but as you are considering ACCA and CIMA, try and put ACA (ICAN) into your consideration. You may wish to know that ICAN is the only IFAC recognized accounting professional body in Nigeria.

We have US Dollar and Pound sterling threads already.
However, some of us still use Euro more than the two and so I thought it would be quite useful to have a thread for the Euro as well.
For this purpose and benefit of us all, please post how much you exchanged the Euro for today, and the location.

FROM UYO VENUE

3SC 1 - ILA ORANGUN FC 0
EL-KANEMI 1 -  FC TARABA 1

Though it may not be easy but NIGERIA will surely beat Tunisia home and away! Take it or leave it, we shall see this happening from this saturday

To me it is definitely XP. Vista is too slow for my liken for now but I know it is still being updated

CAN ANYONE ASSIST OR ADVISE ON THE WAY OUT OF THIS PROBLEM I AM CURRENTLY EXPERIENCING WITH MY ZAIN LINE?
IT SUDDENLY HAPPENED THAT I CANNOT MAKE CALL OR RECEIVE CALL AGAIN. I CANNOT RECHARGE MY LINE OR CHECK MY BALANCE EITHER.
THE ZAIN SHOP IN MY BASE (AWKA - ANAMBRA STATE) HAVE NOT BEEN ABLE TO SOLVE THE RIDDLE. THEY WERE ONLY BUYING TIME BY CLAIMING THAT THEY HAVE LOGGED THE PROBLEM TO THEIR HEADOFFICE TECHNICAL DEPARTMENT.

THE LINE IS MY MAJOR LINE AND I HAVE BEEN USING IT SINCE YEAR 2003 WITHOUT ANY PROBLEM (SINCE ECONET DAYS), LOT OF IMPORTANT CALLS MUST HAVE BEEN MISSED SINCE JUNE 12 (LAST FRIDAY) THAT THE PROBLEM STARTED.

I CAN BE REACHED ON jtayolan@yahoo.com or 07086415100 in the meantime till be problem will be resolved but this is not the line that is having problem. The problem line is 08023841958

THANKS.