Nigerian Banks Enter Into a New Dawn

Nigerian Banks Enter Into a New Dawn

Saturday 14th November 2020

President Muhammadu Buhari on Friday, November 13, 2020 assented to the Banks and Other Financial Institutions Act (BOFIA) 2020. The BOFIA 2020 repeals the BOFIA 1991. The President highlighted in the announcement that the BOFIA 2020 is a demonstration of the collaborative work between the executive and legislative arms of government.

The BOFIA 1991 had been the primary legislation governing banks and financial institutions and it had been felt that the law was due for a review.

The BOFIA 2020 could not have come at a better time in view of significant developments in the global financial industry, recent trends and challenges faced by global economies. The BOFIA Act will build on the existing framework of the former BOFIA and encourage banks and other financial institutions to harness their resources at stabilising and promoting economic recovery, growth and its sustainability.