Nigerian commercial banks are once again forced to count their losses as the Central Bank of Nigeria (CBN) forced banks to give up a substantial part of customers their customers' deposits. Banks use the money in deposit accounts to make loans to other people or businesses. In return, the bank receives interest payments on those loans from borrowers.
According to data gathered from ten commercial banks' financial statements, the CBN removed a whopping N7.02 trillion of customer deposits from bank accounts and kept it in its vault.
The banks include Access Bank Plc, Guaranty Trust Bank (GTBank), United Bank for Africa (UBA) Plc, FCMB Group and Sterling Bank Plc.
The others are Union Bank of Nigeria Plc, Stanbic IBTC Holdings Plc, Fidelity Bank Plc, and Zenith Bank Plc.