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CBN Warns Non-interest Banks Against Governance, Compliance Risks

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By Yusuf Danjuma Yunusa

 

 

The Central Bank of Nigeria has warned non-interest financial institutions against governance and compliance risks capable of undermining public confidence and financial stability in the country’s growing Islamic finance sector.

 

The warning was contained in a statement issued by the apex bank on Monday following the 2nd Annual Interactive Session between the CBN Financial Regulation Advisory Council of Experts and the Advisory Committees of Experts of Non-Interest Financial Institutions held at the CBN Auditorium in Abuja.

 

Speaking through the Director of the Financial Policy and Regulation Department, Rita Sike, the Deputy Governor, Financial System Stability, Philip Ikeazor, said the rapid expansion of the industry had increased exposure to operational and regulatory vulnerabilities.

 

The statement read, “The Deputy Governor, however, observed that as the industry grows in size, sophistication, and interconnectedness, it faces unique risks, particularly non-compliance risk, governance challenges, operational vulnerabilities, and emerging technological risks.

 

“He warned that such risks, if not properly managed, could undermine public confidence, financial stability, and the overall credibility of the non-interest finance ecosystem.”

 

According to the CBN, the engagement was part of ongoing efforts to strengthen Shariah governance, improve regulatory clarity, and reinforce risk management standards within the non-interest financial services industry.

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The apex bank noted that non-interest financial institutions continued to play an increasingly important role in Nigeria’s financial system by providing ethical and Shariah-compliant alternatives to conventional banking.

 

It stated that the institutions were also contributing to financial inclusion, real sector financing, micro, small and medium enterprises development, and shared prosperity.

 

The CBN further explained that the establishment of FRACE and the mandatory constitution of ACEs across all non-interest financial institutions were designed to institutionalise a harmonised governance framework for the sector.

 

According to the statement, sustained interaction between FRACE and ACEs remained critical to ensuring that regulatory expectations were properly understood and consistently implemented across the industry.

 

“The objectives of today’s session include fostering the institutionalisation and effective operation of a robust Shariah governance system within Non-Interest Financial Institutions, and providing a structured platform for dialogue, knowledge-sharing, and collaboration,” Ikeazor was quoted in the statement.

 

In his remarks, the Deputy Chairman of FRACE, Prof. Bashir Umar, said the interactive session was aimed at strengthening governance within the non-interest finance sub-sector and promoting constructive engagement between regulators and industry advisory committees.

 

He also commended the management of the CBN for reviving the session, which was first introduced in 2014.

 

Earlier in her welcome remarks, Sike reaffirmed the apex bank’s commitment to building a strong and well-governed non-interest financial services industry.

 

 

She noted that the growing diversity of products and delivery channels, particularly the emergence of Islamic fintech, had increased the need for stronger regulatory oversight and continuous engagement among industry stakeholders.

 

“The growing diversity of products, institutions, and delivery channels, particularly with the emergence of Islamic fintech, underscores the need for continuous dialogue, sound regulatory oversight, and robust advisory input from scholars and practitioners,” she said.

 

The session featured technical presentations on Shariah non-compliance risks in non-interest banks and the role of Islamic fintech in driving financial inclusion.

 

Participants at the event included members of FRACE, chairmen and members of various ACEs, managing directors of non-interest banks, senior CBN officials, and representatives of the Bank of Industry and the Securities and Exchange Commission.

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North-west Development Commission Partners Dala Orthopaedic To Make Quality Health Care Affordable

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Professor Abdullahi Magaji ,MD Northwest Development commission

 

 

The North-West Development Commission is partnering Dala Orthopaedic Hospital Kano, to explore ways of making quality healthcare more affordable to patients in the country.

This was disclosed by the Managing Director (MD) of the Commission, Professor Shehu Abdullahi Ma’aji recently in Kano when he hosted the Chief Medical Director of the Dala Orthopaedic Hospital, Dr. Isa Nurudeen.

Professor Abdullahi maintained that, as an intervention agency, the Commission would carry out a needs assessment of the operational requirements of the hospital, most especially on the energy component, required to power the hospital’s sophisticated equipment, based on which the Commission would come up with a partnership framework that would support in minimising the running and maintenance cost burden on the hospital.

He expressed the hope that, by the time the Commission wades in and subsidise the operational cost, the gesture would automatically translates into reduction of service charge on respective patients.

Professor Abdullahi explained the Commission’s readiness to extend similar gesture to Aminu Kano Teaching Hospital (AKTH), Ahmadu Bello University Teaching Hospital Shika, Zaria; and Danfodio University Teaching Hospital, Sokoto.

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He observed that all the three hospitals situated within the North-West region of the country “offer their services to generality of mankind” and as such, should be supported in whichever way possible to enhance the quality of their service delivery system; and to as well make the services more accessible and affordable.

Professor Abdullahi added that training of technical personnel on equipment operation and maintenance would be another component of the partnership between the two organisations. This is to ensure that operation and maintenance challenges are immediately tackled without waiting for the manufacturers to intervene.

He expressed the believe that by the time these healthcare facilities function optimally, it would reduce the frequency of Nigerians travelling overseas on medical tourism and would in turn boost Nigerian economy.

Earlier in his submission, the Chief Medical Director of Dala Orthopaedic Hospital, Dr. Isa Nurudeen explained that the purpose of the visit was to solicit the support
and assistance of the Commission to tackle some of the operational challenges facing the hospital.

He specifically emphasised on the energy needs to power their equipment, most especially the new sophisticated MRI machine recently donated by the NNPCL.

He explained that for the machine to operate optimally, it needed to run 24 hours continuously on electricity which is costly and beyond what the hospital management could afford considering the high cost of electricity from the national grid and the prohibitive cost of diesel in the country.

He then appealed to the Commission to come in and assist in providing a sustainable alternative source of energy to power the equipment.

The North-West Development Commission was established in 2024 by Mr. President, Asiwaju Bola Ahmed Tinubu to among others, accelerate infrastructure development and address long standing developmental gaps across the region.

In a statement by Abdulrashid Safana the Head press and public relations says the core mandate areas include security, agriculture, health, education, environment, women and youth development.

 

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Atiku Replies Obasanjo, Says He Has No Regret Thwarting the Third Term Agenda

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By Yusuf Danjuma Yunusa

Former Vice President Atiku Abubakar has said his opposition to the alleged third-term agenda of former President Olusegun Obasanjo was driven by his commitment to Nigeria’s constitutional democracy and not personal hostility towards his former principal.

Mr Atiku, who is the presidential candidate of the African Democratic Congress, ADC, stated this while responding to Mr Obasanjo’s latest criticism of him.

In a statement issued on Saturday by his Senior Special Assistant on Public Communication, Phrank Shaibu, Mr Atiku said the former president’s remarks were an attempt to rewrite history and diminish his role in the administration that governed Nigeria between 1999 and 2007.

He said he received Mr Obasanjo’s comments with sadness rather than anger, arguing that the former president had allowed personal resentment to influence his account of their political relationship.

Mr Atiku said the source of Mr Obasanjo’s alleged hostility towards him was well known to Nigerians, linking it to his refusal to support the reported move to amend the Constitution to allow the former president to seek another term in office.

“I am proud that I stood against the third-term agenda. I am proud that I stood by the Constitution of the Federal Republic of Nigeria. I have no apology whatsoever for frustrating every attempt to subvert our democracy for personal ambition,” he said.

“If Chief Obasanjo’s bitterness stems from my refusal to support an unconstitutional third term, then I wear that resentment as a badge of honour. No individual, regardless of his status or accomplishments, is bigger than the Federal Republic of Nigeria.

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“The Constitution is supreme, and I chose Nigeria over personal loyalty.”

The former vice president said the resistance to the third-term agenda was not a personal battle between him and Mr Obasanjo but a struggle to preserve Nigeria’s constitutional democracy.

“The Nigerian people won that battle. Democracy won that battle. History has already delivered its verdict,” he said.

Mr Atiku said it was unfortunate that Mr Obasanjo, whose alleged ambition was resisted, was now criticising those who defended the Constitution.

He also referred to recent comments by the Director-General of the World Trade Organisation, Ngozi Okonjo-Iweala, who, according to him, praised the economic management team of the Obasanjo administration and described it as the best Nigeria had produced.

Mr Atiku said the timing of the comments, coming shortly before Mr Obasanjo’s latest criticism, was for Nigerians to interpret.

“Whether or not the timing is merely coincidental is for Nigerians to judge. What is beyond dispute, however, is that while distinguished Nigerians who served at the highest levels continue to acknowledge my contributions to one of Nigeria’s most successful periods of economic management, Chief Obasanjo appears determined to diminish them,” he said.

“Chief Obasanjo may choose not to appreciate my role in building one of Nigeria’s most prosperous economic eras, but history has been far kinder. The record speaks for itself, and so do the testimonies of those who worked closely with that administration.”

Mr Atiku also recalled his relationship with Mr Obasanjo before the latter became president in 1999, claiming that he supported the former military ruler during his period of incarceration and contributed to his political return.

“History records that while Chief Obasanjo was in prison, I stood firmly by him. I supported his family, worked tirelessly with other patriots for his release and never wavered in my belief that he deserved his freedom,” he said.

“When he eventually regained his freedom, he had little to his name. I received him, clothed him, ensured he was properly cared for and extended every support necessary to help him regain his footing.

“Beyond that, I mobilised political structures, built alliances and made enormous personal and political sacrifices that culminated in his emergence as President of the Federal Republic of Nigeria.”

Mr Atiku said he had no regrets over his support for Mr Obasanjo, adding that acts of kindness should not be undertaken with the expectation of repayment.

“Do I regret helping Chief Obasanjo? Absolutely not. When God gives you the opportunity to lift another human being, you do so without expecting repayment.”

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Gwamna Petitions IGP, Seeks INTERPOL Probe Over Alleged Coordinated Fake News Campaign

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The All Progressives Congress (APC) governorship candidate in Gombe State, Dr. Jamilu Isyaku Gwamna, has formally petitioned the Inspector-General of Police over what he describes as a coordinated campaign of cyberbullying, criminal defamation and fake news allegedly orchestrated to damage his reputation ahead of the 2027 governorship election.

Highly placed sources familiar with the petition disclosed that Gwamna requested an immediate investigation by the Nigeria Police National Cybercrime Centre, with the involvement of INTERPOL, following intelligence suggesting that some of those behind the online attacks may be operating from outside Nigeria.

The petition reportedly names several social media accounts accused of publishing false claims that the APC candidate had been arrested and detained by the Economic and Financial Crimes Commission (EFCC), allegations which Gwamna categorically denies.

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According to the sources, the petition describes the publications as a carefully coordinated disinformation campaign designed to mislead the public, injure his reputation and manipulate public perception at a time when his political profile and grassroots support continue to grow across Gombe State.

The petition reportedly urges the Police to obtain subscriber information, IP logs and other digital evidence from Meta Platforms, identify the sponsors and financiers of the campaign, prosecute all those found culpable and secure the removal of the offending publications.

Political analysts believe the latest development underscores the increasingly desperate tactics being deployed as the Gombe governorship contest gathers momentum.

Observers note that Dr. Gwamna’s emergence as the leading contender has significantly altered the political landscape in the state, with his growing acceptance across different constituencies unsettling sections of the opposition.

Rather than engage on policy, programmes and the future of Gombe State, critics say some political actors appear to have embraced misinformation, character assassination and cyberbullying in an attempt to slow the momentum of his campaign.

Supporters of the APC candidate expressed confidence that the petition would expose those behind what they describe as an organised smear campaign and reaffirmed their belief that the electorate would ultimately judge candidates on competence, integrity and their vision for the state.

As of the time of filing this report, neither the Nigeria Police Force nor the EFCC had publicly commented on the petition.

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