Me o, I think the CBN guy, Sanusi is very rash in his decision making. I see him as someone who is out to prove a point, no matter the cost. I see him as someone who wants to be seen to have done better than his predecessor, Soludo.

Lets look at these points-

this guy has only been around just two months, conducted an audit on a few banks and sacked CEO's of these banks. I think this could have been better handled. since the issue is that of bad credits, he could have quietly called the affected bank CEO's, given then an ultimatum to do a recovery, after which he could have sacked them if they were not able to clean the books.

If he was not rash, why not complete the audit exercise of all 24 banks so that he would have sacked them all at once. the entire process would have been done one-time.

I feel he could have quietly involved the EFCC and sent letters to the debtors to pay up within a stated time frame after which he would then have published their names. we can all see what is happening in the aftermath of the publication. some of the debtors are disputing the facts stated and they really have a case. some of them had regularised or had started servicing the credits as was expected even before this shake-up. The CBN is now being made to look foolish for not doing its homework well. The CBN is now saying- "we were working with facts given to us by the banks as at May 2009". Why not reconfirm before going to press knowing fully well a lot could have happened between May and August??

Besides, its not a crime to collect or give out loans as a bank. As a matter of fact, if loans are not given out, there will be no banks as that is where they make their profit. I do not believe it is right to say "yes, I want to see some of the CEOs go to jail" as Sanusi said, because they have not committed any crime. They took a bad business decision and that was it. So until it is proven that they were beneficiaries of these credits, EFCC has no business arresting them or chasing them all over. Besides publishing the names of bank debtors without warning contravenes the key banking concept of CONFIDENTIALITY which Sanusi must very well be aware of.

Sanusi's actions has now placed these banks and the entire industry for that matter at the risk of collapse. Investor and depositor confidence has dropped and the long awaited recovery of our capital market has taken a U-TURN since this saga began.

Pls get me right- I am not saying everything was well in the industry before then. I just feel the situation could have been better and more maturely handled.

your take,

ME TOO