CBN injects fresh loan to Skye Bank
The Central Bank of Nigeria, has injected fresh loan to Skye Bank Plc. to boost its liquidity after the lender breached requirements on capital and lending.
The short-term lending facility granted through a guarantee line was meant to assist the bank to recover from the massive withdrawals it suffered after the apex bank announced its intervention into the bank.
This was disclosed by the Acting Director, Corporate Communications, CBN,Isaac Okoroafor.
‚ÄúThe short-term lending facility will allow the management of the bank to ensure that some withdrawals it suffered in the wake of the undue panic recently do not adversely affect its operations,‚ÄĚ.
The guarantee line is coming on the heels of CBN‚Äôs recent intervention in the bank following the voluntary resignation of the Board of Directors of the bank and the consequent re-constitution of the board with a new management team led by Mr. M. K. Ahmad and Mr. Adetokunbo Abiru, who emerged as Chairman and Group Managing Director respectively.
The CBN guarantee will not only enhance Skye Bank‚Äôs interbank trading and activities but also provide assurance to other banks to continue to deal with and trade with its instruments in the interbank market.