Business
THE Chartered Institute of Bankers of Nigeria (CIBN) has urged banks to deploy funds raised from recapitalisation exercise to increase lending to Micro, Small and Medium Enterprises (MSMEs) and other productive sectors.
The President of CIBN, Dr Dele Alabi, made the call on Tuesday in Lagos while responding to journalists at a news conference to announce the institute’s 2026 Annual Banking and Finance Conference.
The conference which has the theme, “Building a Resilient Economy in an Era of Disruption: Imperatives for the Banking and Financial Services Industry,” will hold from Sept. 8 to Sept. 9 at Transcorp Hilton Hotel, Abuja.
Alabi said the fresh capital would provide banks with stronger buffers against economic shocks but should also be strategically deployed to support businesses and households.
He said declining yields on government securities and thin margins among top-tier corporate borrowers made it necessary for banks to explore new lending opportunities.
The CIBN president urged banks to focus more on MSMEs, which he described as critical drivers of economic growth and employment.
He said the institute would organise MSME forums to connect businesses with banks and SME clinics to address challenges such as poor corporate governance, inadequate financial records and weak accounting systems.
Alabi also disclosed plans to establish SME clusters across the country, with discussions already held with some state governors on providing land for the first SME hub.
He said CIBN was aligned with the Central Bank of Nigeria’s target of achieving 95 per cent financial inclusion.
On generational inclusion, Alabi said the institute was strengthening its Generation Next Programme, which brings young people together with industry leaders to exchange ideas and develop professional capacity.
He said the fourth edition of the programme would hold on Aug. 12, with digital participation available to youths across universities in the six geopolitical zones.
Alabi said CIBN had also established infrastructure and digital library projects in universities across the country to support young people.
He explained that recommendations from the institute’s annual conferences were tracked through a checklist, responsibility matrix and implementation timelines.
According to him, one of the major outcomes of the 2025 conference was a recommendation for stronger coordination between monetary and fiscal policies.
He said the recommendation had contributed to improved cooperation between the Central Bank of Nigeria (CBN) and the Ministry of Finance.
Alabi stressed that the banking sector had a critical role to play in supporting Nigeria’s ambition to build a resilient economy and achieve a one-trillion economy.
He said financial intermediation remained central to economic growth by channeling funds from surplus sectors to businesses and other areas requiring financing.(NAN)
M.P
Tags: CIBN Recapitulation Funds