" />
Published On: Sun, May 13th, 2018

Heritage Bank, CBN, ICC brainstorm on global trade operation systems

Heritage Bank Plc. has hosted the May 2018 edition of the bankinng technique and practice meeting of the International Chamber of Commerce Nigeria.

The meeting held at the Victoria Island Office of Heritage Bank attracted representatives of the ICC Nigeria as well as the experts on the trade desks of different banks operating in Nigeria and the apex bank in the country, the Central Bank of Nigeria.

Welcoming the team, , noted that the current dynamics in the trade and commerce nationally and internationally deserves urgent attention. He stated that policy summersault and the need for reviews of operation sytems has posed a lot of challenges that the visiting team needed to look into and proffer appropriate solutions.

Dike charged the trade experts to review the new global order of international trade that now encourages an open account method of transaction in the global trade.

An open account transaction in international trade is a sale where the goods are shipped and delivered before payment is due, which is typically in 30, 60 or 90 days. Obviously, this option is advantageous to the importer in terms of cash flow and cost, but it is consequently a risky option for an exporter.

Responding, Chief (Dr.) Raymond Ihyembe, Chairman, ICC Nigeria Banking Commission, warned that steps must be taken to tackle the possible effects of the current policy.

This, he said, becomes imperative in cview of the fact that Nigeria’s economy depends solely on crude oil. According to him, any massive drop in the price of crude oil in the global market usually affects the aggregae economy greatly.

Ihyembe therefore said in such instances trade and commerce, which is supposed to be the safety net for the nation is again facing turbulence as a result of policy change.

Corroborating the chairman’s views, Dr. (Mrs.) Omolara Akanji, Vice Chairman, ICC Nigeria, Banking Commission, advised banks in Nigeria to always attend the global ICC events where policies are formulated. She expressed concerns that Nigerian banks were not at the ICC Banking Commission meeting held in Miami, USA in April 2018, where modalities of the new policy were discussed.

According to her, their presence at such occasions would have helped to re-shape their orientation about the kind of reviews and adjustments their current structures require.

Meanwhile, the bankers present were of the opinion that they were aware of the new policy, but their common fear is there is currently a gap between the apex bank and the Nigeria Customs. They said banks relate with the documentation presented by exporters and importers, while Customs relates with the goods involved. With this, they said, banks are incapacitated to some extent.

Meanwhile, to address the deficiency, the chairman suggested inuguaration of a special committee that will review the status quo and then come up with the treat, risks and opportunities of the current policy.

The sugession was   unanimously agreed to and the special committee comprising five banks was given three weeks to submit its recommendations on how to mitigate the risk of open account policy in the international trade.

Leave a comment

XHTML: You can use these html tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

Most Shared

Recent posts

  • Ikeja Hotels returns to Lagos bourse

    The Nigerian Stock Exchange (NSE) has given the management of Ikeja Hotels the approval to resume trading after reviewing the two-year suspension placed on the shares of the company on Nov. 10, 2016. According to a ‘facts behind the restructuring’ document released by Ms Tinuade Awe, NSE Executive Director Regulation, trading would commence on the […]

  • Pharmacist council begins recall of Codeine cough syrup

    The Pharmacists Council of Nigeria (PCN) says it has started recalling cough syrup containing Codeine from its stakeholders in compliance with Federal Government directive. The Registrar of PCN, Mr Elijah Mohammed, revealed this in an interview with the News Agency of Nigeria (NAN) on Saturday in Abuja. The Minister of Health, Prof. Isaac Adewole, had […]

  • N5bn fraud: Akingbola has case to answer – Supreme Court

    The Supreme Court on Friday ordered, Erastus Akingbola, to return to the Federal High Court, Lagos, to answer his alleged five billion Naira fraud charge. Akingbola is a former Managing Director of the defunct Intercontinental Bank Plc. Justice Tanko Muhammad, leading a five-man panel, affirmed the Feb. 20, 2015 judgment of the Court of Appeal […]

  • AMCON takes over Sen. Oduah’s assets

    The Asset Management Corporation of Nigeria (AMCON) has taken over Sea Petroleum Oil & Gas Ltd. and other assets belonging to Sen. Stella Oduah-Ogiemwonyi over an unpaid debt of about N20 billion. AMCON said the takeover followed an injunction granted by Justice M.S. Hassan of the Federal High Court, Lagos against Sea Petroleum Oil & […]

  • Not so sir, Army panel tells General TY Danjuma

    The Nigerian Army on Friday said allegations against it by retired Gen. T.Y Danjuma that it colluded with militia in Taraba and refused to protect the people were untrue. The Chief of Army Staff, Lt.-Gen. Tukur Buratai, made this known at a news conference in Abuja where he gave details of the findings of the […]

  • Total, Mobil oil top losers’ chart on NSE

    Total Nigeria Plc on Friday at the Nigerian Stock Exchange (NSE)  topped the losers’ chart, dropping by N9.80 to close at N212 per share, the News Agency of Nigeria (NAN)reports. Mobil Oil trailed with a loss of N7 to close at N181, while Dangote Cement was down by N3 to close at N245 per share. […]

  • Invest more in science education, academic tasks FG

    The Federal Government has been advised to increase its funding of the education sector if Nigeria is to become globally competitive. An academic at the Obafemi Awolowo University, Ile Ife in Osun State, Dr Babatunde Ogundare, gave the recommendation on Tuesday at the Faculty of Science Secondary Schools Quiz Competition held at the institution. Addressing […]

  • Timeline of Ebola virus since first known outbreak

    Following is a recap of past epidemics of Ebola as the Democratic Republic of Congo (DRC) battles a new outbreak of the deadly tropical disease: 1976: First known outbreak  Ebola was first identified in central Africa in 1976 and named after a river in northern Democratic Republic of Congo (DRC). It claimed 431 lives that […]

  • Crude prices hits above $80 since late 2014

    Benchmark oil contract Brent North Sea briefly surged above $80 a barrel Thursday, hitting its highest level since late 2014 and extending a recent run higher fuelled by tight supply concerns. European stock markets meanwhile rose as the euro weakened against the dollar, but Wall Street pulled back in early New York trading. Brent North […]

  • AfDB approves $100m to boost fertilizer production in Nigeria

    The African Development Bank (AfDB) says it has approved 100 million dollars senior loan to Nigerian firm, Indorama Eleme Fertilizer and Chemicals Limited, to support the production of Fertilizer in Nigeria. The Bank disclosed this in a statement, on Thursday adding that it would help the company’s plans to double its fertilizer production from 1.4 million […]

  • FG opens online portal for investors

    The Federal Government has launched an up-to-date online portal, `iGuide Nigeria’, containing necessary information and relevant data for willing investors. The Minister of Trade and Investment, Mr Okechukwu Enelamah, at the launch in Abuja on Thursday, said the portal would greatly improve the Ease of Doing Business in the country. The Permanent Secretary of the […]

  • Governors threaten NNPC over fuel subsidy

    National Economic Council (NEC), comprising the 36 State Governors in the country has threatened to take over the responsibility of subsidising petroleum products in their states based on consumption following the huge amount of money being spent by the NNPC as fuel subsidy payment annually. The Chairman of Governors’ Forum, Gov. Abdulazeez Yari of Zamfara […]

  • Kamra Indian manager of Dangote Cement killed in Ethiopia

    Deep Kamra, the Indian manager of the cement plant owned by Nigeria’s Dangote Industries Limited in Ethiopia was killed on Wednesday after he was attacked in the restive Oromiya region while returning to Addis Ababa from the factory. Both the secretary and driver of Kamra, who is the Dangote Cement country manager, were also shot […]

  • Don’t reject gunshot victims, Police warn doctors

    The Lagos State Police Command has warned hospitals and doctors to henceforth desist from rejecting gunshot victims, saying such act constitutes a flagrant violation of an existing law. In a statement on Wednesday by the Command’s Public Relations Officer, Chike Oti, they said doctors who do so are criminally liable on account of the provision […]

  • Shareholders caution Oando against Ansbury reconciliation

    Some shareholders of Oando Plc on Wednesday cautioned its management against moves to reconcile with Ansbury Investments Incorporated, owned by Mr Gabriele Volpi. The shareholders: Pacesetters Shareholders Association, Distinct Shareholders Association and Sage Shareholders, said their objection to the reconciliatory moves was based on an ongoing investigation of Volpi for alleged money laundering by Italian […]

  • Senate passes 2018 Budget of N9.12 trillion

    The Senate has passed the 2018 Budget of N9.12 Trillion following the consideration and adoption of the Budget report laid on the floor of the upper legislative chamber on Tuesday. This is coming 6 months after the budget document was presented to a joint session of the National Assembly in November. The Budget document passed […]