BNW

B N W: Biafra Nigeria World News

.... ....   Home  |  Cover Stories  |  National Newsreel  |  Politics  |  Business  |  Sports  |  World  | Contact  | Advert Rates  Towards a better life for the people Search The Archives   Cover Stories National News South West Niger Delta South East North Politics Business Sports World Viewpoints Features   COVER STORIES No bank out of clearing system —CBN By Yinka Kolawole Wednesday, August 25, 2004 LAGOS—THE Central Bank of Nigeria (CBN) said yesterday that no bank was currently out of clearance on account of the  recent withdrawal of government parastatal funds from banks. However, bankers said they were gradually coming to terms with  the on-going reforms of the sector. Director, Operations Department, CBN, Dr Sarah Alade, told newsmen at the end of the 274th session of the Bankers  Committee meeting at the CBN office in Lagos that it was not true that 25 banks “are out of clearing because public sector  funds were withdrawn from the system. It is true that we had one or two banks out of clearing, but they were in and out. This is  purely an arrangement between the banks and the settlement banks. “If they think that, for whatever reasons between them, a bank is not likely to meet the obligations in the short run, they might say  okay we are not going to clear for you. But these banks have gone back into clearing. So, we can’t say that these banks are out  of clearing because the banks are not really out of clearing. “The agency agreement between them and their settlement banks have not been terminated. So, if they have been out of clearing  once or twice, that is just a temporary thing. All of them are back in the clearing house and it’s only one or two banks not 25  banks. We don’t have a problem in the system.” She said the fact that a bank was temporarily out of clearing had nothing to do with the withdrawal of public sector funds from  the system, adding that the fact that a bank was out of clearing did not necessarily mean that it was distressed. “They could be  out of clearing as a result of liquidity problems with their clearing banks,” which she noted was the case with the one or two  cases recorded.   Home  |  Cover Stories  |  National Newsreel  |  Politics  |  Business  |  Sports  |  World  | Contact  | Advert Rates © 1998- 2004. Vanguard Media Ltd.

	BNW News
Voice of Biafra | Biafra World | Biafra Online | Biafra Web | MASSOB | Biafra Forum | BLM | Biafra Consortium
	© 2001 BNW BiafraNigeriaWorld  Privacy Policy ---------------------------------------------------------------------------------- Powered by ACENetwork ----------------------------------------------------------------------------------
	Axiom PSI Yam Festival Series, Iri Ji Nd'Igbo the Kola-Nut Series,Nigeria Masterweb