The Central Bank of Nigeria (CBN) has charged banks on proper education of its customers on issues relating to trade and structured finance.
Olakanmi Gbadamosi, director, trade and exchange, CBN, who disclosed this at the 2014 Wema Bank Customer Trade and Structured Finance Forum held in Lagos, recently, said there were new guidelines the CBN was promoting, which entail that banks fund their dealing account two days before the bid date.
“The structure of our market is that we have the official window, and the interbank. As a business man, you can source fund from any segment, depending on the transaction you want to execute. In Nigeria, we have a list of eligible bank transactions, which we expect that importers chose only from this list. It is also our expectations that banks educate their customers about these transactions, and the supporting documents needed to be issued,” he said.
Represented by Onyinye Ahuchiogu, deputy director, trade and exchange, CBN, Gbadamosi said “the CBN has in collaboration with the Nigerian Customs Service, automated the Form ‘M’ to ensure easy facilitation of businesses.
“It is our expectation that anyone doing business in our environment will complete our Form ‘M.’ It helps the CBN to know who is buying what, and what needed to be done to meet customers’ needs.”
Segun Oloketuyi, managing director/CEO, Wema Bank, said the the trade forum was part of efforts at sensitising stakeholders on developments within the sector as well as bringing various parties – stakeholders and regulators together to discuss issues, challenges and chart a way forward for future development and policy formulation.
Oloketuyi also said as part of the ongoing positive transformation at Wema Bank, the bank was well poised to support businesses in the areas of trade and structured finance, saying in recent times, Wema Bank had attracted over $100 million in lines of credit for foreign trade and another $50 million in structured finance lines from various institutions.
Speaking at the occasion, Abdullahi D. I, comptroller general, Nigerian Custom Service, who was represented by Abe Benjamin, deputy comproller, IT unit, noted that the present administration had come up with some initiatives for ease of doing business. Such initiatives are the Single Window project, the Pre-Arrival Assessment Report (PAAR), among others.
Addressing infrastructure problems and making sure stakeholders fully understand and buy into the initiatives, he said the way forward was effective and enhanced business in the country.
In recent times, Wema Bank has invested significantly in IT infrastructure to boost service delivery to its customers and provide excellent, value-adding services. It was also disclosed at the forum that the bank had recently completed a web-based portal to enable its customers conduct their international trade transactions from the comfort of their offices with minimal interactions with the branches.
Established in 1945, Wema Bank is Nigeria’s longest surviving indigenous financial institution. The bank offers a range of corporate, retail, SME, electronic banking and financial advisory services to its numerous customers.
