By Oyibo Salihu
LokojaManaging Director/ Chief Executive Officer of Kogi Savings and Loans, Mr Abdulaziz Otohinoyi Suberu, has called on the federal government to re- introduce the National Board for Community Banks to enable the micro-finance institutions in the country deliver effective service to the people.
Suberu made the call at the weekend while interacting with newsmen in Lokoja, the state capital.
He said the scrapping of the board and the merging of all the activities of community banks with the mega banks in the country under the supervision of Central Bank department of other financial institutions had weakened the activities of the micro finance banks thereby rendering them ineffective-
He said for micro-finance banks to function properly and effectively, the federal government should revisit the scrapping of the board whose statutory responsibility was to control the activities of the community banks in terms of regulation and legislation.
He said: “The current legislation and regulation does not favour community banks, the federal government does not help matters because the type of regulations established for mega banks which was extended to small banks cannot work because of their low financial strength.”
The CEO, who said the primary objective of establishing Kogi Savings and Loans Limited “is to invest on mortgage, financing and development, revealed that investors from Ireland had declared their interest to partner with the financial institution to invest in construction of affordable housing for indigenes of Kogi state.
