Connect with us

BUSINESS

CBN begins registration of more financial institutions on credit management platform

Published

on

The CBN has started the registration of “Other Financial Institutions” (OFIs) on its Credit Risk Management System (CRIMS) to improve credit risk management.

“Other Financial Institutions” are Development Finance Institutions (DFIs), Microfinance Banks (MFBs), Primary Mortgage Banks (PMBs) and Finance Companies (FCs)

CBN’s Director, Financial Policy and Regulation Department, Kevin Amugo, stated in a circular on Tuesday that with the successful implementation of CRIMS in commercial banks, it was time to accommodate Other Financial Institutions.

He stated that the system was designed to improve credit risks in commercial, merchant and non-interest banks.

Amugo urged all affected financial institutions to report all credit facilities to the platform.

“Accordingly all DFIs, MFBs and FCs are required to report all credit facilities (principal and interest) to the CRIMS and to update same on monthly basis,’’ he stated.

He reminded the OFIs that Bank Verification Numbers and Tax Identification Numbers were the only basis for “regulatory renditions.”

The CBN director also urged the OFIs to conclude the tagging of all live credit files for all borrowers by May 14.

He advised concerned OFIs to acquaint themselves with the regulatory guidelines for the operations of the redesigned CRIMS for commercial, merchant and non-interest banks.

The guidelines were issued in February and September of 2017.

“Note that the CBN will monitor compliance with the requirements of this circular and non-compliance will attract appropriate sanctions,” Amugo warned.

Kadiri Abdulrahman

NEWSVERGE, published by The Verge Communications is an online community of international news portal and social advocates dedicated to bringing you commentaries, features, news reports from a Nigerian-African perspective.A unique organization, founded in the spirit of Article 19 of the Universal Declaration of Human Rights, comprising of ordinary people with an overriding commitment to seeking the truth and publishing it without fear or favour.The Verge Communications is fully registered with the Corporate Affairs Commission of the Federal Republic of Nigeria as a corporate organization.

Comments