Tuesday, 9 August 2011
Nigeria to invest N679 billion into three nationalised banks
Control of the three banks has now passed to the State-run Asset Management Corporation of Nigeria (AMCON). It is thought that the company is aiming to raise the funds needed through bond issues. AMCON has also appointed new management to oversee the three banks.
The company released a statement saying: "The newly appointed boards are entrusted with the mandate to manage these banks along best commercial practice, to compete effectively in the Nigerian banking sector and provide quality service to customers…Depositors are again assured that their deposits are safe and employees are also assured of seamless continuity of business operations and job functions."
Trading in the shares of Afribank, Spring Bank and Bank PHB has been suspended.
Sources: BBC News, Reuters, Bloomberg
For more news and expert analysis about Nigeria, please see Nigeria Focus and Nigeria Politics & Security.