Some banks capital adequacy ratio low – CBN report

Some banks with international authorisation have a capital adequacy ratio below the regulatory threshold.NYSC Portal

The report said, “The banking industry remained resilient in the review quarter as key financial soundness indicators were within the regulatory thresholds.

The banking system capital adequacy ratio fell by 3.0 percentage points to 11.2 per cent, relative to the 14.2 per cent recorded in the preceding quarter.JAMB Result

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“The ratio was above the 10.0 per cent benchmark for banks with national/regional authorisation, but below the 15.0 per cent threshold for banks with international authorisation.informationguidenigeria

“The development reflected a decline in the banks’ total qualifying capital relative to the increase in risk-weighted assets due to the depreciation of the naira exchange rate, as a result of the adoption of a market-determined exchange rate policy by the Bank.”

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