Central Bank of Nigeria, CBN, has debunked a report by an online newspaper that Diamond Bank Plc and eight other Nigerian banks are distressed and therefore, needed recapitalisation to remain as a going concern.
Dismissing the story as the figment of the imagination of the writer, CBN Governor, Godwin Emefiele stated that the speculation that Diamond Bank Plc and eight other Nigerian banks have low capital adequacy was not only false but also outside the realm of facts.
According to him, “there is no Nigerian bank that has capital adequacy problem today and all the news around that is false.
“We stress-test banks’ balance sheet and profit and loss accounts on a regular basis using different scenarios. That is what we do as a responsible central bank that monitors the strategic health of the banks. We carry this exercise out as a practice and I hope this puts this matter to rest.”
Diamond Bank in a statement issued by its Corporate Communications Division described the story as “false and malicious”, pointing out that as a Deposit Money Bank (DMB), it is healthy and meeting its financial obligations as required by the regulatory body.
“Our customers, stakeholders and indeed the general public should please disregard the said report and be informed that the story is false, baseless, mischievous and attention seeking,” the Bank stated.
It could be recalled that the CBN earlier in the year listed Diamond Bank as one of the ten biggest banks in Nigeria, describing it as “systemically important” and ‘too big to fail’ in the financial services sub-sector.

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