The Senate Committee on Banking, Insurance and Other Financial Institutions will be meeting with the Central Bank of Nigeria (CBN), Nigeria Deposit Insurance Corporation (NDIC) and Deposit Money Banks (DMBs) on Tuesday over the high interest rates being charged by financial institutions in the country.
Also invited for the meeting with the senate panel is the Manufacturers Association of Nigeria (MAN) among several other bodies based on a motion by the Chairman of the committee, Senator Rafiu Ibrahim.
The Senate President, Bukola Saraki, had last week criticised the charging of high interest rates on loans by Small and Medium-scale Enterprises in the country, a situation he said had forced some firms to close shops.
The senate president had also hinted that the Senate would meet with the CBN, the DMBs and other financial institutions on the matter, with a view to bringing down the lending rate.
On Sunday night, Ibrahim told The Punch that stakeholders in the financial and manufacturing sectors had been called to the meeting.
He said, “We are going to meet with them on Tuesday. We have invited the Central Bank of Nigeria, all Deposit Money Banks as well as development finance banks, the Chartered Institute of Bankers of Nigeria, the Manufacturers Association of Nigeria, the Nigerian Association of Small and Medium Enterprises and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture.
“Although the Lagos Chamber of Commerce and Industry is under NACCIMA, we have invited them separately because of the peculiarity of Lagos.”
Ibrahim added that the National Economic Summit Group was also invited.
“We also invited some industry experts to give us their opinions,” he added.
The meeting is expected to find “immediate, sustainable and lasting solutions that will help usher in a new interest rate regime that supports enterprise development in Nigeria.”