Confidence in Banking Sector Strong, Despite CBN Intervention

Abuja, Nigeria. August 26, 2009 – In recent weeks, Nigerians have learnt that five major local banks had non-performing loans in excess of N700 billion, thus depleting shareholder’s funds. In reaction to this, the Central Bank of Nigeria (CBN) dismissed the top management of the affected banks and injected over N400 billion into the banks. Despite these developments, Seven in Ten Nigerians say they have confidence in the Nigerian banking sector.

 
In the recent survey conducted by NOI Polls, 87 percent of the respondents were aware of the recent occurrence in the banking sector.

 

Over 80 percent of those who were aware of the latest development in the sector approved of the course of action taken by the CBN. 

 
When asked “Do you think the Central Bank of Nigeria is doing enough to protect banking customers”, eight in ten respondents voiced their agreement with the measures taken by the premier bank to protect banking customers. In addition, 71 percent of the people polled expressed confidence in the banking sector (Agree and strongly agree).

 

The polls show a general consensus among respondents in the ability of the Central bank to safeguard bank deposits and investor’s funds. The recent action by the central bank has, if anything, served to strengthen Nigerians confidence in the sector.  

 

These results are based on 620 telephone interviews with randomly selected phone–owning Nigerians aged 16 years and older, across the six geographical regions of the country. The poll was conducted between August 20 and 24th, 2009. In a sample of this size, we can say with 95% confidence that the results have a statistical precision of plus or minus 4 percentage points of what they would have been if the entire population had been surveyed.

 

This poll is part of the ongoing snap poll exercise conducted by NOI Polls to rapidly assess public sentiments following various social, political or economic events. NOI Polls is a Nigeria based opinion research organization which Works in technical partnership with Gallup Polls (USA), to conduct periodic opinion polls on various socioeconomic issues in Nigeria.

Abuja, Nigeria. August 26, 2009 – In recent weeks, Nigerians have learnt that five major local banks had non-performing loans in excess of N700 billion, thus depleting shareholder’s funds. In reaction to this, the Central Bank of Nigeria (CBN) dismissed the top management of the affected banks and injected over N400 billion into the banks. Despite these developments, Seven in Ten Nigerians say they have confidence in the Nigerian banking sector.

 
In the recent survey conducted by NOI Polls, 87 percent of the respondents were aware of the recent occurrence in the banking sector.

 

Over 80 percent of those who were aware of the latest development in the sector approved of the course of action taken by the CBN. 

 
When asked “Do you think the Central Bank of Nigeria is doing enough to protect banking customers”, eight in ten respondents voiced their agreement with the measures taken by the premier bank to protect banking customers. In addition, 71 percent of the people polled expressed confidence in the banking sector (Agree and strongly agree).

 

The polls show a general consensus among respondents in the ability of the Central bank to safeguard bank deposits and investor’s funds. The recent action by the central bank has, if anything, served to strengthen Nigerians confidence in the sector.  

 

These results are based on 620 telephone interviews with randomly selected phone–owning Nigerians aged 16 years and older, across the six geographical regions of the country. The poll was conducted between August 20 and 24th, 2009. In a sample of this size, we can say with 95% confidence that the results have a statistical precision of plus or minus 4 percentage points of what they would have been if the entire population had been surveyed.

 

This poll is part of the ongoing snap poll exercise conducted by NOI Polls to rapidly assess public sentiments following various social, political or economic events. NOI Polls is a Nigeria based opinion research organization which Works in technical partnership with Gallup Polls (USA), to conduct periodic opinion polls on various socioeconomic issues in Nigeria.