Monday, April 10
The stress test conducted by the Central Bank of Nigeria (CBN) has confirmed the resilience of large banks to withstand stresses over smaller banks, even as it singled out Zenith Bank Plc for its strength in comparison to others
Citing a Financial Stability Report for December 2016, published recently, rating agency, Fitch, said in its review of the regulatory test highlighted disparities in capital strength in the Nigerian banking industry. The apex bank’s test showed that 3 big banks failed, with their capital adequacy ratio haven significantly fallen below the regulatory requirement.
The rating agency said in its analysis of the CBN report: “… medium and large banks collectively could withstand a 100% increase in non-performing loans (NPLs) but small banks (assets less than NGN500 billion) would struggle to withstand even modest NPL deterioration.
“In our own assessment of the banks we rate, which are mostly large (assets more than NGN1 trillion), capacity to absorb losses through capital varies considerably.
“Zenith Bank Plc is stronger than the rest, while capital weaknesses at First Bank National and Diamond Bank have a significant influence on their ratings,” it added.
“All Nigerian bank ratings are in the highly speculative 'B' range, but even so capitalisation is an important differentiator. The scores we assign, based on capitalisation and leverage metrics across the sector, are low, but vary considerably,” the agency explained.
The apex bank’s stress test focused on the ability of banks' capital adequacy ratios to withstand a number of impairments arising from Non-Performing Loans and Fitch noted in its analysis that small banks were particularly badly hit in the stress tests.
“They already had very weak starting capital positions, with an average capital adequacy ratio (CAR) of just 3.14% at end-2016, following sharp falls in 2016 due to rises in NPLs. Medium and large banks had stronger starting positions, with CARs of 12.75% and 15.47%, respectively, at end-2016,” the agency stated.
The agency also stated: “CBN figures show that NPLs represented 14% of total sector loans at end-2016, a very sharp increase on 5.3% at end-2015. Unreserved NPLs represented a high 38.4% of total end-2016 regulatory capital (end-2015: 5.9%), signaling considerable weakening in the overall capital position of Nigeria's banking sector.
“Reported NPL ratios do not tell the whole asset quality story. Restructuring, particularly of loans extended to the troubled upstream oil sector, is fairly common practice in Nigeria, and restructured loans at some rated banks account for as much as 20% of total loans,” it added.
It further noted that there was good ground to belief that that capital buffers at banks may be weaker than reported ratios suggest.
The banks, the agency noted, remain profitable, with results boosted by wide margins and currency revaluation gains, large in some cases.
“These are one-off gains but they have been realised and provide a strong boost to capital, which is positive, especially in light of weak asset quality,” it said.
The CAR is the ratio of bank’s assets to its risks. It is placed at 10 per cent for national banks and 15 per cent for banks with international subsidiaries and 16 per cent for Systematically Important Banks (SIBs).
He also inspected uniforms and finger nails, as well as the hairdo of
Marrying a poor man leads to hell fire, arrest your boyfriend if he uses your photo as DP -Counselor
According to him, no man has the right to use a lady’s photo as his DP, thus he charged women to be vigilant and call for the arrest of any man, who is yet to marry
The actor who has reacted to the report, alleged he was fornicating with an actress, who forced her to one movie audition she went for. According to him, he slept off because the sex he had got him tired.
Here's what he wrote;
"Wow... Finally after months of pressure, I finally offered an upcoming actress my sweet "banana"... 🍌🍌four rounds in the toilet, and more back in
Well the beautiful mother of one, released a video after learning that Thin Tall Tony, who she had a fling with while still in the house, is married. According to Bisola, she never
The Arsenal forward has been labelled a lucky man by online users who were wowed by his girlfriend's cuteness. His model partner, Clarisse Juliette dropped some photos of her and her audience exploded.
Reactions and more photos of her is after the
According to the lady, her male friend who went to buy plantain in his neighbourhood, was beaten black and blue by officers of the Nigerian Police, who also used scissors on his hair.
She went further to disclose that the guy's phone was seized, even after they went through his phone and found nothing in it. He was then asked to bring 50K to
According to PUNCH
'He allegedly consumed two lobsters, a baby octopus, 21 vodka oyster shots and “a number of Coronas.”
|The expensive meal that sent 2Pec running. Photo: BBC|
The rapper, Terry Peck, known locally as 2Pec, appeared before a Queensland court in Australia.
As reported by the BBC, the Police set off in hot pursuit of the man on jet skis.
The ex-housemate, who talked about how Efe thinks he's got street sense, while he's got none on a radio show immediately he got to Nigeria after his eviction, was put on blast by Nigerians who said Efe needs to be careful of him.
Here's Thin Tall Tony's post on Instagram that got most Nigerians pissed on Instagram;
Dear N25 million, is this what you can do? Choi!!
Mr Edozie used Efe's popular slangs #BasedOnLogistics and #WhoIbe.
Nigerians what have you not shocked us with yet?
More photos after the cut
According to TopCelebritiesNg
The Ozimba crooner based in Warri, Delta State has been lying critically ill for months now and need funds for necessary medical attention abroad after being diagnosed of prostate cancer and diabetes.
Chairman of Onuesoke Foundation, Chief Sunny Onuesoke and the friends of Tony Grey in conjunction with his Foundation tried to rescue the musician who had touched the lives of many through his music by contributing the sum of N512,000 for his treatment.
Though it looks like its an old Movie, but then again, it fits.
Lmao!! Grab a copy Now
He shared the above photo and wrote;
Chukwuma Eleje was on March 25th, killed by the suspects when he went to their residence in the Ada-George area of Port Harcourt to deliver iphones and a motorcycle they ordered form the online store.
The presiding judge ordered that the suspects be remanded in prison.
Singer, Skales also got a pinch of it. Most people said Efe is now richer than him.
Well, his reply is so humbling. See after the cut...
Sapele market women in Delta State pictured below, drank to celebrate Efe, who is also from the State. More photos after the cut;
She went further to reveal the guy pushed her so hard, and further told her
The photo he shared, got him on the bad side of some Facebook users who ripped him apart. According to some of those who commented, sharing the photos makes him an idiot, and it's unthinkable to imagine that some people are supporting him.
However we couldn't get a screenshot of some of the comments on the post, because it was pulled down, but here are some of the comments culled from Ugandanblog;
So, singer Adekunle Gold tweeted that Efe and Marvis should just marry and he got an epic reply. See below...
Asahd should be the world's busiest kid currently. See more photos of him balling below...
North West on Sunday headed to church with her aunt Kourtney alongside cousins Mason, seven and Penelope, four.
The three-year-old superstar offspring looked adorable in a velvet dress while she tucked a sequinned Fendi handbag in the nook of her elbow, although her accessory was no normal kids' bag carrying a whopping £4,000 price tag.
The mum has cried out asking people to help tell her to take the photo down as her daughter is not dead. See after the cut...
Man tortures and locks up his daughters after a pastor told him they are responsible for his financial troubles (Photos)
Read the report according to Victor Ibeh who shared the story....
Cool, Very cool or not cool at all? What do you think of her outfit?
The lady who owned the SL500 sports car parked it in a garage in Knightsbridge, central London, having driven it just 75 miles.
But she somehow lost the keys to her birthday present and, instead of getting a replacement set, decided to never drive it again.
As a result, the 21-year-old car is in brand-new condition and is expected to sell for £55,000 on Wednesday when it is auctioned by Coys at the Royal Horticultural Society in London.
This is around TEN TIMES the price of a normal SL500 of the same age.
His kids, crew members and some friends were in attendance. See more below...
Toke, who went through a bitter separation from her ex-husband, Maje Ayida, was called out by Nigerians for thinking that getting divorced, is all about getting paid.
Here are some of the replies she got;
Little boy represents his elder brother who couldn't make it to his own marriage introduction (Photos)
Most people who thought it was actually the the boy getting marriage slammed the woman and she replied below...
Coming after the United States airforce launched an airstrike on Syria, the Russian Government has warned the United States to back off or be prepared for real war.
The fallout comes after President Trump in the early hours of Friday morning, ordered airstrikes (pictured) on a Syrian airbase in the first direct attack by the US against Assad.
The onslaught of 59 cruise missiles followed a suspected chemical attack on
Below is the Video of the emotional moment Efe had with Tboss after he won.
Watch the video after the cut