Business

CBN to Cracks Down on Loan Defaulters, Bars Them from Banking Services and New Credit

Published

5 months ago

March 13, 2026

Preport

The Central Bank of Nigeria (CBN) has introduced a strict new measure aimed at tackling rising loan defaults in the country’s financial system, announcing that individuals and businesses who fail to repay loans may be barred from accessing banking services and new credit facilities.

Under the new directive, chronic loan defaulters could face restrictions across the banking sector, including limited access to financial services and the inability to obtain additional loans from banks and other financial institutions.

The move is part of efforts by the apex bank to strengthen credit discipline, protect the stability of the banking system, and ensure that borrowers meet their financial obligations.

According to the CBN, the policy will involve closer collaboration with financial institutions and credit reporting agencies to track loan repayment records and identify defaulters. Borrowers who fail to meet repayment terms may be flagged within the banking system, making it difficult for them to access new credit facilities.

Financial experts say the decision could significantly change borrowing behaviour across Nigeria, as customers will now be more cautious about taking loans they cannot repay.

The measure is also expected to encourage banks to improve risk management practices and strengthen the country’s credit reporting system.

However, some analysts warn that the policy could have mixed effects, especially for small businesses and individuals already struggling with economic challenges.

They argue that while the move may reduce reckless borrowing, it may also limit access to credit for people who genuinely need financial support but face temporary repayment difficulties.

Despite these concerns, the CBN maintains that the policy is necessary to promote accountability in the financial sector and ensure the long-term stability of Nigeria’s banking system.

Industry observers believe the directive signals a tougher stance by the apex bank on loan recovery and could mark a new phase in Nigeria’s financial regulation.

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Business

FULL LIST: NIIRA 2025: NAICOM Eyes Liquidation for Non-Compliant Operators

Published

6 hours ago

August 3, 2026

Preport

BY NKECHI NAECHE-ESEZOBOR—The National Insurance Commission,((NAICOM), on Monday said only eight insurance companies are yet to be verified by the commission.

The commission disclosed this today while releasing the 43 insurance firms that met the new minimum capital requirements set up by NIIRA

According to NAICOM “The eight insurance companies submitted evidence of compliance shortly before the statutory deadline are currently undergoing final verification and regulatory review.

This, the commission said would be concluded within fourteen days.

Insurance companies not listed among the 43 verified firms include those currently undergoing final regulatory review, as well as unverified operators at risk of liquidation—such as NICON Insurance Plc; Goldlink Insurance Plc Nigerian Reinsurance; Nigerian Agricultural Insurance Corporation ; Royal Exchange Prudential Life Plc; Tangerine Life Insurance Limited; Sovereign Trust Insurance Plc; African Alliance Insurance Plc; Guinea Insurance Plc; Regency Alliance Insurance Plc; Staco Insurance Plc; Alliance & General Insurance; Universal Insurance Plc; emPle General Insurance Company Nigeria Limited and emPle Life Assurance Limited.

NAICOM had announced the successful completion of the twelve-month insurance sector recapitalization exercise undertaken pursuant to Section 15 and other relevant provisions of the Nigerian Insurance Industry Reform Act (NIIRA) 2025, signed into law on 31 July 2025 by His Excellency, President Bola Ahmed Tinubu, as part of his administration’s financial sector transformation agenda towards the attainment of a US$1 trillion economy by 2030.

The successful conclusion of the exercise marks a defining milestone in the transformation of Nigeria’s insurance industry and signals the beginning of a new era for insurance in the country.

Following the enactment of NIIRA 2025, the Commission commenced a structured implementation process to provide strategic oversight, ensure transparency, support operators throughout the transition, and facilitate the effective implementation of the new minimum capital requirements within the statutory compliance period.

To ensure an orderly, transparent, credible, and verifiable process, the Commission issued the Guidelines on the Implementation of Minimum Capital Requirements (MCR) for Insurance and Reinsurance Companies in Nigeria.

The Guidelines provided detailed guidance on the statutory minimum capital requirements under NIIRA 2025, eligible and ineligible capital instruments, admissible and non-admissible assets, verification and validation procedures, regulatory timelines, reporting obligations, and supervisory expectations throughout the implementation period.

The post FULL LIST: NIIRA 2025: NAICOM Eyes Liquidation for Non-Compliant Operators appeared first on Business Today NG.

Business

HBM Nigeria, United Capital, Wema Bank top stock pick this week

Published

14 hours ago

August 3, 2026

Preport

Nigerian stocks retreated by 0.8 per cent last week, despite the release of several strong half-year results, as profit-taking pressured trade. Sell-offs in consumer goods stocks fuelled the slide.

This week, more corporate results are expected, notably those of the big banking institutions, which could shape the direction the market may go in the near term.

This week, increased positioning, notably in stocks that pay dividends at least twice a year, could be witnessed as the market awaits the release of half-year corporate results.

PREMIUM TIMES has assembled some stocks with sound fundamentals, adopting rigorous approaches to save you the risk of picking equities at random for investment.

The pick, a product of an analytical market watch, offers a guide to entering the market and taking strategic positions, with the expectation that selected stocks will record reasonable price appreciation with the passage of time.

This is not a buy, sell or hold recommendation but a stock investment guide. You may need to involve your financial advisor before taking investment decisions.

HBM Nigeria

HBM Nigeria tops this week’s list for its strong fundamentals. The net profit ratio (NPR) of the cement manufacturer is 9.6, while the price-to-earnings (PE) ratio is 18.1x. Its 10-day relative strength index (RSI) is 58.7.

United Capital

United Capital appears on the pick on the basis of its attractive fundamentals. The NPR of the company is 51.2, while the PE ratio is 10.1x.

Wema Bank

Wema Bank makes the selection for its strong fundamentals and for trading below its intrinsic value. The lender’s NPR is 30.5, while the PE ratio is 1.1x. Its RSI is 40.9.