CBN urges Board Directors to prioritise, boost consumer confidence in banking industry

*Olayemi Cardoso, Governor of the Central Central Bank of Nigeria, urges Boards of Directors to prioritise consolidation, confidence, and stability in the post-recapitalisation phase of the West African country’s banking sector

Gbenga Kayode | ConsumerConnect

For enhanced financial system resilience in the ecosystem, the Central Bank of Nigeria (CBN) has urged Company Directors to prioritise consolidation, confidence, and stability in the post-recapitalisation phase of the country’s banking sector.

ConsumerConnect reports Dr. Olayemi Cardoso, Governor of CBN, gave the charge at the recent induction ceremony of new members of the Chartered Institute of Directors Nigeria (CIoD), in Lagos.

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The theme of this year’s event was: “Stewardship in Times of Reform: Consolidation, Confidence, and Stability in the Post-Banking Re-capitalisation Era”.

Cardoso, represented on the occasion by Dr. Olubokola Akinniyi, Director of Banking Supervision Department at CBN, said the recent recapitalisation exercise was a strategic move to strengthen financial system resilience, boost investor confidence and support sustainable economic growth.

The CBN Governor noted that as Nigeria enters this new phase, the role of Directors has become even more critical than ever before.

He also stated: “Stewardship must now be exercised with sharper focus on consolidation, confidence, and stability.”

The CBN Chief explained that stewardship required Directors to safeguard corporate institutions for the long term while creating value for stakeholders.

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This, Cardoso emphasised, entailed guiding institutions through economic cycles, ensuring transparency, accountability, and embedding strong risk management practices to protect against shocks.

Cardoso further said: “This era calls for Directors, who are not passive overseers but active stewards – leaders who balance profitability with sustainability, and compliance with innovation.”

According to him, Directors’ responsibilities have extended beyond boardrooms, especially at a time of heightened regulatory expectations and the need to rebuild stakeholder trust.

He equally stressed the need for strategic foresight as institutions navigate technological disruption, global competition, and evolving customer demands.

“The Central Bank views Directors as partners in ensuring that re-capitalisation and regulatory reforms translate into stronger institutions, not just larger balance sheets,” stated he.

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Cardoso as well charged the newly inducted Directors to see their induction as a call to service.

The Governor of CBN noted that their corporate decisions would shape the future of the Nigerian economy.

Besides, Cardoso reaffirmed the commitment of CBN to engaging with Directors to build a resilient, inclusive and globally competitive financial system.

The CBN Chief restated: “Together, regulators and Directors can ensure that Nigeria’s financial sector remains a pillar of strength, supporting sustainable growth and prosperity for generations to come.”

Speaking at the induction of new members, Adetunji Oyebanji, President of CIoD, described the induction as a rite of passage, and opportunity for new members to understand their responsibilities.

Oyebanji said membership of the Institute offered access to a network of thought leaders across sectors, and a platform for high-level intelligence and professional development.

He described the value of their membership as a non-static benefit.

The President stated: “It is a dynamic ecosystem. Its strength depends entirely on the intellectual and professional energy you invest back into this collective.”

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