Announcement has been made by the National Council on Privatisation, NCP, of its intention to merge the Central Bank of Nigeria’s NIRSAL Microfinance Ltd with the Bank of Agriculture.
This decision was disclosed in a statement released on Wednesday by the Council. It also revealed plans to inject fresh capital into the institutions post-merger for their revitalization.
The NCP’s Committee on BOA recommended these steps, which were unveiled during a Council meeting at the Presidential Villa in Abuja.
During the meeting chaired by Vice President Kashim Shettima, emphasis was placed on President Bola Tinubu’s commitment to restructuring and enhancing the Bank of Agriculture to further the administration’s food security agenda.
Addressing the meeting, the vice president stressed the importance of appointing competent professionals with integrity to oversee the bank.
Highlighting the potential impact, he remarked, “If we leverage it effectively, it can be a pivotal tool in transforming our economy, given that agriculture is paramount.”
Minister of Finance, Wale Edun, elaborated on the Council’s decision, citing the identified challenges and the pressing need to tackle the bank’s issues.
Also serving as the Vice-Chairman of the NCP, Mr. Edun underscored key recommendations, including the immediate restructuring of the Bank’s Board of Directors to enhance corporate governance.
He stated, “Transfer National Agricultural Land Development Authority (NALDA) land titles to BOA to reflect on its Balance Sheet.
“This move will bolster capital adequacy, enabling the raising of funds from institutional investors.”