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CBN reveals seven years’ worth of financial statements under a probe.


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The Central Bank of Nigeria has made the consolidated financial statements for the previous seven years accessible for public inspection, marking the first time since 2015 that the top bank has done so.

The CBN published Consolidated Financial Statements for the fiscal years 2016, 2017, 2018, 2019, 2020, 2021, and 2022.
The CBN reported an after-tax profit of N103.8 billion in 2022, up from N75.13 billion the previous year.

In addition, as of the fiscal year that concluded in December 2022, the CBN owed JP Morgan and Goldman Sachs a total $7.5 billion.

Included as part of its liabilities is another $6.3bn owned in foreign currency forwards.

The apex bank, however, claimed that it owed $7 billion in what it categorized as securities loans to JP Morgan and $500 million to Goldman Sachs.

The Group agreed into a securities loan deal with Goldman Sachs and J. P. Morgan, and as part of the agreement, the Group pledged its holdings on foreign securities in exchange for cash. This was stated in the 2022 financial statement. The cash received from Goldman Sachs is N0.23tn ($500m), 2021: N0.22tn ($500m), and JP Morgan is recognized in other foreign securities for N3.23tn ($7bn), 2021: N3.05tn ($7bn).

The CBN’s total external reserves, which as of 2022 were estimated to be N14.3 trillion or $29 billion using the official exchange rate of N494 to $1, include securities lending.

However, the central bank also owes N3.15 trillion ($6.3 billion) in forward foreign exchange.

The financial accounts posted on the CBN website show that the top bank, led by acting Governor Folashodun Shonubi, is prepared to let the public look into its books.

Godwin Emefiele, the suspended CBN Governor, had faced criticism for withholding the financial statements from the general public.

Emefiele’s behavior is a flagrant infraction of the CBN Act.

From 2005, when it began posting information about its annual report online, until 2016, when it stopped doing so, the CBN never missed publishing the report.

The CBN Act of 2007 mandates that the apex bank publish its report within two months of the end of each fiscal year.

“The Bank shall deliver a copy of its annual accounts verified by the Auditor to the National Assembly and the President within two months of the end of each financial year.

“The Bank shall publish a report needed to be submitted to the National Assembly and the President in such a way as the Governor may specify.

“The Board shall ensure that accounts produced in accordance with this provision are published in the Gazette as soon as practicable.

In accordance with the Act, “The Bank shall as soon as may be practicable after the last day of each month makeup end publish a return of its assets and liabilities as at the close of business on such day, or if such day is a holiday, as at the close of business on the last preceding business day.”

According to analysts, the CBN’s decision not to release the report could have sent the wrong message to investors and other parties interested in understanding the status of the economy.

Jim Obazee had been designated by President Bola Tinubu as a Special Investigator to look into the CBN’s and other associated entities’ operations.

In a letter dated July 28, Tinubu said that the appointment of Obazee will advance the anti-corruption campaign of his administration by depending on the essential goal stated in Section 15(5) of the Nigerian constitution.

Obazee’s appointment is effective right away, and the President will receive his direct reports.

The precise terms of Obazee’s participation as a special investigator would be revealed to him in due time, according to the letter the President signed.

The President had instructed Obazee to conduct an investigation into the CBN and connected organizations using a team that was appropriately qualified, experienced, and capable, and to collaborate with pertinent security and anti-corruption agencies to complete the task.


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