Former Deputy Governor of the Central Bank of Nigeria, Dr. Sarah Alade, has called on Nigerian banks to address the country’s low credit-to-GDP ratio and strengthen efforts against digital fraud. She made the call during her keynote address at the Chartered Institute of Bankers of Nigeria (CIBN) Induction and Prize Awards ceremony on Saturday.
Alade highlighted Nigeria’s financial sector transformation from a fragmented system in the early 2000s to its current position as a regional leader, crediting reforms such as Basel compliance and digital innovation. However, she pointed out that challenges remain, particularly the nation’s credit-to-GDP ratio, which stands at 21%—far below South Africa’s 70%. She urged banks to expand lending to priority sectors through innovative risk assessment frameworks.
She outlined four key imperatives for the banking sector: adopting emerging technologies such as AI, blockchain, and fintech collaborations; integrating environmental, social, and governance (ESG) principles into lending decisions; strengthening cybersecurity to combat digital fraud; and enhancing policy coordination between regulators and industry players.
Addressing newly inducted members of CIBN, Alade challenged them to pursue transformative leadership rather than settle for routine banking practices. “This ceremony opens doors to greater responsibilities. Will you settle for routine banking or redefine industry standards?” she asked.
CIBN President, Prof. Pius Olanrewaju, also stressed the importance of technology in boosting bank revenues. Citing data, he noted that digitally progressive banks achieve 3.5 times higher revenue growth, while institutions that uphold ethical standards enjoy 26% greater customer confidence, according to the Edelman Trust Barometer. He urged members to embrace the CIBN’s LEGACY Agenda, emphasizing that the future of Nigerian banking will be shaped by those who combine technical expertise with visionary leadership.
The induction ceremony welcomed professionals across various categories, including 803 chartered bankers, 383 MCIB members, 53 SMP/AMP professionals, 27 MSc pathway members, and four chartered banker/MBA candidates. It also featured international inductees from Sierra Leone, The Gambia, Kenya, Cameroon, Rwanda, and Ghana, reflecting the growing regional influence of the CIBN.
