CBN Suspends New Loan Applications Under the Development Finance Intervention

According to a memo issued by Access Bank Plc to its customers on Monday, the Central Bank of Nigeria (CBN) has halted new loan applications under the CBN development finance intervention funds programme. Among the existing development finance intervention funds programs of the CBN are the Real Sector Support Fund (RSSF), Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL), Accelerated Agricultural Development Scheme (AADS), Anchor Borrowers Program (ABP), and Agri-Business/SME Investment Scheme (AGSMEIS). Access Bank issued the following statement on Monday, in addition to announcing the program’s suspension: All prevailing CBN development finance intervention funds, which bear approved interest […]



Nigeria’s Inflation Rate Hits 24.08% Amid Forex Scarcity

Due to lack of foreign exchange, Nigeria’s inflation rate in July 2023 reached the highest rate in years at 24.08%. The July 2023 rate increased by 1.29% points compared to the previous month’s rate of 22.79%, the National Bureau of Statistics (NBS) reported in a Tuesday report on the Consumer Price Index (CPI). The Consumer Price Index monitors the rate of price change for goods and services. On July 25, 2023, the Central Bank of Nigeria (CBN) increased the Monetary Policy Rate (MPR) from 18.5 percent to 18.75 percent. The interest rate hike happened amid rising food prices and growing[…]



CBN Bars Banks From Dismissing Loans Granted To Directors

The Central Bank of Nigeria (CBN) has issued a directive prohibiting banks from canceling loans extended to their directors and associates without its permission. Corporate Governance Guidelines for commercial, Merchant, non-interest, and payment service banks contain the directive. This is in response to shareholders’ repeated complaints about the continuous increase of insider-related loans to directors. The new guidelines, which went into effect on 1 August 2023, stipulated that any director whose facility or that of his related interests underperforms for more than a year must resign from the board and be barred from serving on the boards of banks or[…]