CBN revokes Skye Bank’s licence, renames it Polaris Bank


The Central Bank of Nigeria (CBN), on Friday, wielded its regulatory big stick by revoking the operating licence of Skye Bank Plc with immediate effect.

CBN Governor, Mr. Godwin Emefiele, who announced the development to newsmen during a conference in Lagos, said the decision followed the inability of its owners to pull the bank out of distress after a N350 billion intervention was given in July 2016.

“You will recall that on 4th July 2016, we took a regulatory action on Skye bank Nigeria PLC. Specifically, this action led to the resignation of the Chairman, all Non-Executive Directors on the Board as well as the Managing Director, Deputy Managing Director, and the two longest- serving Executive Directors on the Management Team.

“At that time the proactive action was informed by unacceptable corporate governance lapses as well as the persistent failure of Skye Bank PLC to meet minimum thresholds in critical prudential and adequacy ratios, which culminated in the bank’s permanent presence at the CBN Lending Window.


[penci_blockquote style=”style-2″ align=”none” author=””] Emefiele assured the general public that the Nigerian banking industry remains safe and resilient and that the CBN will continue to live up to its responsibilities of promoting stability in the banking and financial system.[/penci_blockquote]

“The focus of the action then was to save depositors’ funds and to ensure that the bank continued as a going concern, being a systemically important bank. Part of our intention was also to stem the imminent job losses to staff if a liquidation option had been adopted.

“These objectives have been fully achieved and the bank has been able to meet customer obligations, having curtailed the liquidity haemorrhage and restored depositor confidence. Indeed, the bank’s performance has improved considerably compared to the pre-July 2016 era,” Emefiele stated.

The Governor said that in spite of the intervention, it was discovered that Sky Bank was still in murky financial waters and in dire need of recapitalsation which the bank’s shareholders were unable to address.

He said following the discovery, it became imperative, in conjunction with the Nigerian Deposit Insurance Corporation (NDIC) to take a decisive action which would salvage the customers’ deposits and prevent staff job loss.

“The result of our examinations and forensic audit of the bank has, however, revealed that Skye bank requires urgent recapitalization as it can no longer continue to live on borrowed times with indefinite liquidity support from the CBN. The shareholders of the bank have been unable to recapitalize it.

“As a responsible and responsive regulator and in consultation with the Nigerian Deposit Insurance Corporation (NDIC), we have decided to establish a bridge bank, Polaris Bank, to assume the assets and liabilities of Skye bank. The strategy is for the Asset Management Company of Nigeria (AMCON) to capitalize the Bridge Bank and begin the process of sourcing investors to buy out AMCON. By this decision, the licence of the defunct Skye Bank is hereby revoked.

“We wish to assure all depositors that under this arrangement, their deposits shall remain safe and that normal banking services shall continue in the new bank on Monday, 24th September, 2018, to enable customers to transact their businesses seamlessly.


[penci_related_posts taxonomies=”undefined” title=”Online Related Posts” background=”” border=”” thumbright=”no” number=”4″ style=”list” align=”none” displayby=”recent_posts” orderby=”random”]

“Thus, all customers of Skye Bank shall be automatic customers of the new bank and their accounts and records duly purchased by Polaris Bank.

“Given the good performance of the board and management, the CBN shall retain them. In addition, all employees of Skye Bank shall be absorbed by Polaris Bank under a new contract unless any employee decides to opt out.

Emefiele assured the general public that the Nigerian banking industry remains safe and resilient and that the CBN will continue to live up to its responsibilities of promoting stability in the banking and financial system.

Comment With Facebook

Comments (219)

  1. Simply want to say your article is as amazing. The clearness to your put up is simply spectacular and that i can think you are a professional in this subject. Well with your permission allow me to grasp your feed to stay updated with coming near near post. Thank you 1,000,000 and please keep up the gratifying work.|

  2. I enjoy what you guys are usually up too. This type of clever work and exposure! Keep up the superb works guys I’ve you guys to my blogroll.|

  3. Howdy would you mind letting me know which hosting company you’re utilizing? I’ve loaded your blog in 3 completely different internet browsers and I must say this blog loads a lot faster then most. Can you recommend a good hosting provider at a reasonable price? Cheers, I appreciate it!|

  4. You ought to take part in a contest for one of the greatest blogs on the net. I will recommend this blog!|

  5. Excellent web site. Plenty of helpful info here. I’m sending it to several friends ans also sharing in delicious. And of course, thanks on your effort!|

  6. I would like to thank you for the efforts you’ve put in penning this site. I am hoping to view the same high-grade content from you in the future as well. In truth, your creative writing abilities has motivated me to get my very own site now ;)|

  7. Hi, I do think this is an excellent web site. I stumbledupon it 😉 I will revisit once again since I saved as a favorite it. Money and freedom is the greatest way to change, may you be rich and continue to help other people.|

  8. Thanks for sharing, this is a fantastic post.Much thanks again. Awesome.

  9. Great weblog right here! Additionally your website quite a bit up very fast! What host are you using? Can I am getting your affiliate link in your host? I desire my website loaded up as quickly as yours lol|

  10. buy chloroquine

    CBN revokes Skye Bank’s licence, renames it Polaris Bank | Education Tell

  11. Hi there, all the time i used to check web site posts here in the early hours in the dawn, for the reason that i like to learn more and more.|

  12. ventolin no prescription

    CBN revokes Skye Bank’s licence, renames it Polaris Bank | Education Tell

  13. Hi, I read your blog on a regular basis. Your story-telling style is awesome, keep doing what you’re doing!|

  14. Nice post. I was checking constantly this blog and I’m impressed! Very useful information specially the last part 🙂 I care for such info much. I was seeking this particular information for a long time. Thank you and best of luck.|

  15. Sweet blog! I found it while searching on Yahoo News. Do you have any tips on how to get listed in Yahoo News? I’ve been trying for a while but I never seem to get there! Thank you|

  16. Excellent way of explaining, and nice post to take facts regarding my presentation topic, which i am going to convey in academy.|

  17. With the multitude of reality reveals about exterior life on television, it is actually no surprise that camping is becoming more and more preferred currently. Look into the sound guidance and useful tips beneath when you are someone who are prepared for the vacation in the excellent in the open air. When loading for your personal camping outdoors journey, be sure to load up possibly some turn flops or water shoes or boots. These will be handy in and around the camping area. For instance, should you be staying in a camping site that has restroom facilities so you consider taking a shower, you have to put on footwear from the shower area to guard your feet from feet fungi. Once you pack increase your camping internet site to go property, abandon a few logs and a few kindling for the upcoming outdoor camping team that comes along. For those who have actually came to your site in the evening, you are aware how challenging it may be to discover fire wood! It’s a very good shell out-it-forwards action that will most likely help out more than you can imagine. When preparing for your personal outdoor camping adventure, ensure you pack only what you require for mealtimes. Should you be in the camping site, the food need to remain frosty thus it fails to ruin. If you are in the pathway, any other or unwanted food items could be a problem. Should you pack sufficient food items for your time you are around the path, you simply will not be weighed down by extra weight. Enable everyone know they have a say inside the campsite and must aid decide on a preferred area. Discuss which condition to see. The Usa delivers a lot of options that selecting one can be hard! Create a list of your faves and let the family unit to vote. Compose a list of what exactly you need to take with you before heading camping. You may be thinking you will be great at packing, but tiny different is a whole lot worse than getting out during the forest and acknowledging you neglected your allergy prescription medication. Take a moment and make a complete selection of almost everything you might need in the full week just before your camping outdoors vacation. Outdoor camping can be a wonderful expertise for you and your whole family members. Use the ideas in this post to successfully do a good task of remaining harmless and achieving a great time camping simultaneously. Continue on your upcoming outdoor camping journey far better equipped and much more ready just for fun.

Comment here

This site uses Akismet to reduce spam. Learn how your comment data is processed.