CBN Begins Enrolment of OFIs on Credit Management Platform
The Central Bank of Nigeria (CBN) has started the registration of “Other Financial Institutions’’ (OFIs) on its Credit Risk Management System (CRIMS) to improve credit risk management.
The apex bank defines Other Financial Institutions’ as Development Finance Institutions (DFIs), Microfinance Banks (MFBs), Primary Mortgage Banks (PMBs) and Finance Companies (FCs) operating in the country.
The monetary policy hinted about its decision In a circular signed by the CBN’s Director, Financial Policy and Regulation Department, Kevin Amugo.
The circular stated that with the successful implementation of CRIMS in commercial banks, it is 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.
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CBN Begins Enrolment of OFIs on Credit Management Platform
