Sterling Bank, on Thursday, disclosed that transparency, continuous engagement, proper documentation and promptness in sending returns of unutilised foreign exchange to the Central Bank of Nigeria (CBN) were the main factors that helped the bank to escape the regulator’s ban from its Small and Medium Enterprises FX window.
Speaking on the development, Sterling Bank’s Group Head, Treasury and Financial Institution, Kehinde Wole–Olomojobi, said the lender escaped the sanction because it usually engaged the CBN to clarify issues and made sure that any FX not utilized were returned immediately to the apex bank and same communicated officially.
“What the CBN wants is transparency and professionalism at the highest level. They want to make sure that you use the FX for the purpose it is meant for and all documentations are complete. At Sterling Bank, we return the FX we do not need and get the requisite naira refund from the CBN”, Wole-Olomojobi said.
The CBN had on Wednesday announced the ban on 16 banks from its “SME FX Window’’ for violating its guidelines.
However, eight banks escaped the regulator’s action. These were Sterling Bank, Access Bank Plc, Diamond Bank Plc, Fidelity Bank Plc, Heritage Bank, Jaiz Bank, Sterling Bank Plc, Unity Bank Plc and Zenith Bank Plc.
This came just as the CBN readmitted Keystone Bank and some banks into SME FX window on Thursday.
Keystone Bank which is currently undergoing a transition following the successful divestment process, said it was readmitted into the spot and wholesale forwards segment of the forex market by the CBN.
Guaranty Trust Bank Plc, First Bank of Nigeria Limited and UBA were also re-admitted sequel to the provision of evidence of sales of forex to SMEs.
