Aisha Abubakar, the director of capacity development at the Central Bank of Nigeria (CBN), says Nigeria’s financial system has been stable because banks have been good at compliance.
Speaking at the investiture ceremony of the Compliance Institute of Nigeria (CIN) in Lagos during the weekend, the CBN director, said the isolated cases of non-compliance in the sector can be addressed through sanctions.
Represented by Anetekhai Affi, deputy director of CBN’s learning centre in Lagos, Abubakar said: “Over the years, various policies, regulations and rules have been developed to mitigate or prevent crisis or/and failures as witnessed in multiple periods of the financial crisis.”
“As a result, the stability of the financial system, which mostly comes from compliances with these rules and regulations and regulations, is regarded as a key component in sustaining an economy.
“Compliance can be broadly described as an essential and critical process aimed at mitigating the risk of impairment to the business model caused by failure to meet requisite laws.
“When we say where are we in the financial services sector, we are having isolated cases of non-compliance that can be taken care of by sanctions. Then we can say the system is stable. Right now, the compliance level is good.
“With the growth and sophistication of the financial system of today, associated with the various laws, it goes without saying that there is need to evolve a safe and sound financial system, hence the need to step up our compliance skills in order to meet with the dictates of the time.”
Editor’s note: This story has been updated to reflect new facts