By Peter Egwuatu

Financial sector stakeholders have emphasised that the recapitalisation of the banks, strategic policy alignments, structural shifts among other economic measures would contribute collectively to attainment of a $1 trillion Nigerian economy.

Speaking at the 2024 Finance Correspondents Association of Nigeria, FICAN’s, conference in Lagos last weekend, themed “Nigeria’s Journey Towards $1 Trillion Economy: Impact of Banks’ Re-capitalisation, Opportunities for Fintechs and Real Sector”, the stakeholders also agreed that recapitalisation of the banks will enhance credit to the real sector of the economy.

Speaking, Bello Hassan, Managing Director/Chief Executive,  Nigeria Deposit Insurance Corporation, NDIC, said: “The current recapitalisation initiative of the CBN aims at enhancing the resilience, solvency and the capacity of our banks to absorb shocks and continue to support economic development of the nation by efficiently performing its function as the fulcrum of financial intermediation.’’

Also speaking, Mr. Oliver Alawuba, GMD/CEO, UBA Plc, said: “The recapitalsation policy must lead to a significant expansion in the provision of credit to the real sector, particularly in Agriculture, Manufacturing, and Infrastructure. Currently, Nigeria’s economy faces a productivity gap. With larger capital bases, Nigerian banks should be well-positioned to finance long-term infrastructure projects and provide low-cost credit facilities to businesses that will drive industrial growth.”

Alawuba, who was represented at the occasion by Mr. Ugo Nwaghodoh, Executive Director, Finance and Risk Management at UBA, stated that achieving the $1 trillion vision is achievable though it is bold.’’