Stress Test: CBN Declares Nigerian Banks are Sound

 Mr Godwin Emefiele, CBN Governor

The Central Bank of Nigeria (CBN) on Sunday affirmed that all banks operating in the country are sound.

This, according to a statement from the central bank, was the result of a recent stress test carried out on the financial institutions.
It revealed that the banks have adequate capital to absorb unexpected losses.

The CBN also stated that the unaudited results of banks, and the results released so far, indicated that economic headwinds had not significantly affected returns.

The statement further noted that banks have been directed to have effective risk management systems in place especially price hedging, adding that the CBN would continue to monitor banks to ensure sufficient internal retention of capital to serve as buffers.

The International Monetary Fund (IMF), in its Executive Board 2014 Article IV Consultation with Nigeria released last week, had commended the efforts of the CBN in ensuring financial system soundness.