The Governor of the Central Bank of Nigeria (CBN), Sanusi Lamido Sanusi, has said that Islamic and non- interest banks must adhere to effective risk management if they must operate in the country as alternative financial institutions.
The Governor, who acknowledged that the non-interest financial industry is beginning to take root in Nigeria said the CBN will continue to support the industry by making rigorous but fair regulations and implementing a transparent supervisory regime.
In a keynote address in Lagos yesterday at a non- interest banking workshop organised by the Chartered Institute of Bankers of Nigeria (CIBN), the Governor pointed out that
Operators in the industry should realise that effective risk management systems, including sound liquidity management framework, adherence to acceptable business norms and compliance with legal and regulatory requirements are essential ingredients for continued success in financial transactions.
The essential consideration for the non-interest banks, said Sanusi, is to find the right balance between business development and risk management.