Financial institutions in the country have to device strategies to address the issue of poor risk management and corporate governance practices, knowledge gaps in critical core banking functions and non-adherence, which are posing serious challenge to financial industry, said Dr. Uche Olowu, the newly sworn-in President and Chairman of council, the Chartered Institute of Bankers of Nigeria (CIBN).
While speaking at his investiture in Lagos, he noted that the banking industry is battling with multiple challenges occasioned by regulations, disruptive models and technologies as well as new competitions.
He claimed that inadequate skills sets and competencies across the banks also portend a major challenge to the financial sector.
“The recent financial crisis also presented an unwholesome picture of poor risk management and corporate governance practices, knowledge gaps in critical core banking functions and non-adherence to professional standards occasioned mainly by the failure of the larger society to address the challenge of eroding values. Our fiduciary role is being threatened if urgent intervention is not employed.
“In the face of these challenges, financial institutions notwithstanding must pursue strategies that seek out to balance long-term goals with short term performance pressures for sustainable growth,” Dr. Olowu, who is also a director in Union Bank, submitted.
The 20th president of CIBN claimed that under his watch, the institute would focus on five strategic areas, which he highlighted as rules & standards; skills and competences; research & advocacy; technology & resources and brand & visibility.
Mallam Bello Maccido, chairman, FBNQuest Merchant Bank, who chaired the investiture, maintained that Dr. Olowu would bring his experience as a consummate banker into the running of the institute.
He opined thatthe new CIBN president would bring about major progress into the institute, adding that his predecessor, Professor Segun Ajibola left an indelible mark of development in CIBN.