National Economy
Wednesday, July 2, 2025
  • Home
  • News
    • International Business
  • Lead-In
    • Cover
    • Investigation
  • Economy
    • Nigerian Economy
    • Fiscal Policy
    • Energy
    • Agri Business
    • Transportation
    • Industry
    • Competition
    • Homes & Property
    • Insurance
    • Companies & Markets
      • Companies
      • Capital Market
  • Tech
  • States & Politics
  • Commentary
    • Analyst
    • Business Matters
    • All Angles Considered
    • ClickSend
  • Editorial
  • Data
  • Others
    • Opinion
    • Money Guide
    • Analysis
    • Growth
    • Sport Economy
No Result
View All Result
Read News
National Economy
  • Home
  • News
    • International Business
  • Lead-In
    • Cover
    • Investigation
  • Economy
    • Nigerian Economy
    • Fiscal Policy
    • Energy
    • Agri Business
    • Transportation
    • Industry
    • Competition
    • Homes & Property
    • Insurance
    • Companies & Markets
      • Companies
      • Capital Market
  • Tech
  • States & Politics
  • Commentary
    • Analyst
    • Business Matters
    • All Angles Considered
    • ClickSend
  • Editorial
  • Data
  • Others
    • Opinion
    • Money Guide
    • Analysis
    • Growth
    • Sport Economy
No Result
View All Result
National Economy
No Result
View All Result
Home Companies & Markets

‘Large Banks Suffer Regulatory Constraints Most’

by  BUKOLA ARO-LAMBO
8 months ago
in Companies & Markets
Reading Time: 3 mins read
Banks
Share on FacebookShare on TwitterShare on Telegram

You May Like

NGX Seeks Regional Collaboration To Unlock West Africa’s Trade, Investment Potential

Bankit MFB Eyes 1m Customers Milestone By Year-end

With 50 per cent of deposits sterilised with the Central Bank of Nigeria (CBN) and the obligation to the Assets Management Corporation (AMCON) bigger banks have continued to bear the larger brunt of regulatory constraints, the managing director and chief executive of Access Bank, Roosevelt Ogbonna, has said.
This is as he said the bank is further expanding with new branches to be set up in Hong Kong and United States of America by the end of next year with plans to do business in all 55 countries on the African continent.
Speaking with journalists on Monday on the plans of the bank as it enters the consolidation phase next year, Ogbonna noted that while big banks suffer the most under regulatory constraints, they are able to expand more when the constraints are removed.
Shareholders of banks have consistently raised concerns over the burden of the AMCON levy which took N453.71 billion from the books of six banks in the first six months of this year. However, Ogbonna noted that Access Bank is focused on winning irrespective of the regulatory constraints.
“When there are regulatory constraints or structural constraints, large banks suffer the most. When those constraints are resolved and removed, large banks are the greatest beneficiaries. AMCON is here for another five years….Cash Reserve will not always be 50 per cent.
“So the question you have to ask yourself is that, should we wait until the structures are removed? Or do we say, invest now, take that market share, control it, knowing that these structural limitations cannot exist forever, and when they come off, be prepared for the benefits that you get. Our mindset is: take the latter. Invest now rule the market share, prepare yourself for that tomorrow.”
Speaking on the expansion plans, he said the bank is focused on leading cross border trade in Africa whilst establishing presence cross the world. He stated that Access Bank “will be in global markets, and we will have global conversations dealing with different counterparties who operate across the world. When we started this journey, one of the things that was clear to us is that if we have to be the bank that catalyze trade and payments in the continent, we needed skill. So we started something we refer to as our aggregator strategy. There’s no point being a Pan African bank where you have zero impact.
“It was very clear that in every market, we have to compete locally, and we have to be a dominant bank in the local market. Of our 19 markets that will be in the continent by 2027, eight of those markets we will be a top three bank. In 15 of those markets we will be a top 10 bank. In 11 of them we will be a top five.
“We want to be a local bank first, employ local talent, impacting the local economy, working with the local governments on the offerings in those markets to make an impact in the market. I think, importantly, it means that we then have the skill and the size to be able to then force cross border trade to happen.”
“From a trade perspective, the most dominant trade banks in the continent have been the international banks, but they are leaving the continent, the banks who will get the benefits of that exit, are banks who have built the scale in those local markets. We’re very deliberate in terms of the markets.”
On funding, he said the bank is looking to raise a dollar instrument noting that “he form and the contours that you take is still work in progress. Our view is that there will be two tranches of that capital instrument.”

Tags: BANKS
ShareTweetShare
Previous Post

Safeguarding Depositors’ Funds With NDIC Act Amendment

Next Post

Honourable Kabiru Classic Joins APC, Inspired by Matawalle and Yari’s Vision for Zamfara

ANOTHER GOOD READ

NGX Seeks Regional Collaboration To Unlock West Africa’s Trade, Investment Potential
Companies & Markets

NGX Seeks Regional Collaboration To Unlock West Africa’s Trade, Investment Potential

2 days ago
Bankit MFB Eyes 1m Customers Milestone By Year-end
Companies & Markets

Bankit MFB Eyes 1m Customers Milestone By Year-end

2 days ago
Mouka Wins Awards On Use Of Integrated Media, Execution
Companies & Markets

Mouka Wins Awards On Use Of Integrated Media, Execution

2 days ago
Firm Launches New Sun Protection Product To Champion Skin Health
Companies & Markets

Firm Launches New Sun Protection Product To Champion Skin Health

1 week ago
Mouka Promises To Build Community Of Thriving Business Owners
Companies & Markets

Mouka Promises To Build Community Of Thriving Business Owners

1 week ago
Companies & Markets

Entrepreneurs Commend FCMB’s Training Programme

2 months ago
Next Post
Honourable Kabiru Classic Joins APC, Inspired by Matawalle and Yari’s Vision for Zamfara

Honourable Kabiru Classic Joins APC, Inspired by Matawalle and Yari’s Vision for Zamfara

Most Recent

ECS: NSITF Compensates 2 Beneficiaries With N23m

ECS: NSITF Compensates 2 Beneficiaries With N23m

July 1, 2025
Labour Institute’s DG Hails Tinubu On Rights Protection, Nigeria First Policy

Tinubu Seeks Visa Waiver Deal With OECS Countries

July 1, 2025
Senator Jibrin Barau @66: Footprints Of A Political Powerhouse And Philanthropist

Senator Jibrin Barau @66: Footprints Of A Political Powerhouse And Philanthropist

June 30, 2025
Obasa: Chronicling A Decade Of Commanding Legislative Tour De Force   

Obasa: Chronicling A Decade Of Commanding Legislative Tour De Force  

June 30, 2025
17 States Confirm Plans To Host Olympic Day

17 States Confirm Plans To Host Olympic Day

June 30, 2025
NSC Commends Akeredolu For Driving Nigeria’s Flag Football Success

NSC Commends Akeredolu For Driving Nigeria’s Flag Football Success

June 30, 2025
We Are Ready To Host CAA U18/U20 Championships – LOC

We Are Ready To Host CAA U18/U20 Championships – LOC

June 30, 2025
PFL  Event: Ukah Eyes Thrilling Debut Against South African Ceileigh

PFL Event: Ukah Eyes Thrilling Debut Against South African Ceileigh

June 30, 2025
Advertise with us

© 2024 | National Economy

No Result
View All Result
  • Home
  • News
    • International Business
  • Lead-In
    • Cover
    • Investigation
  • Economy
    • Nigerian Economy
    • Fiscal Policy
    • Energy
    • Agri Business
    • Transportation
    • Industry
    • Competition
    • Homes & Property
    • Insurance
    • Companies & Markets
      • Companies
      • Capital Market
  • Tech
  • States & Politics
  • Commentary
    • Analyst
    • Business Matters
    • All Angles Considered
    • ClickSend
  • Editorial
  • Data
  • Others
    • Opinion
    • Money Guide
    • Analysis
    • Growth
    • Sport Economy

© 2024 | National Economy