Conversion to IFRS is impracticable for now, NAMB tells CBN Skye Bank gets new GMD, DMD
The National Association of Microfinance Banks (NAMBs) on Monday said that the Central Bank of Nigeria’s directive to its members to adopt the International Financial Reporting Standards (IFRS) was impracticable for now.
The association’s president, Mr. Jethro Akun, in an interview with the News Agency of Nigeria (NAN) in Lagos, appealed to the CBN to defer the implementation till 2016.
Akun said that many of its members were in a fix because they were ignorant of the process, adding that majority of microfinance bank operators needed time, money and training to transit from the old ways to the internationally accepted standards.
NAN reports that IFRS allows the investing public and other stakeholders access to the record of operations of a firm.
Only 10 out of the 900 microfinance bank operators have so far complied with the directive.
The CBN directive expired on Dec. 31, 2013.
The aim is to sanitise and stabilise the sector to repose the confidence of the investing public in it.
Akun appealed to CBN not to apply the sledge hammer on the microfinance operators yet to comply with the standards.
He said that applying a stringent measure on the sector could hinder the growth and survival of microfinance banks in Nigeria.
According to him, many operators are yet to fully comprehend the processes involved.
“We are not opposed to this policy and we are ready to comply with the standards. We are only appealing for an extension of deadline for its compliance in order to become familiar with the processes involved.” The Board of Directors of Skye Bank Plc has announced the appointment of Mr. Timothy Oguntayo as group managing director and chief executive officer to succeed Mr. Kehinde Durosinmi-Etti who will retire from the Board on July 31, 2014 at the end of his current tenure.
Durosinmi-Etti had notified the Board of his desire not to seek renewal of his 4 year tenure at the expiration of his current term.
The Board also announced the appointment of Mrs. Amaka Onwughalu as Deputy Managing Director for the bank. Both appointments are subject to appropriate regulatory approvals.
The bank in a statement on Tuesday said the Board thanked Mr. Durosinmi-Etti for his service to the institution from the period of consolidation, first in the capacity of Deputy Managing Director, and subsequently as Group Managing Director and Chief Executive Officer.
It noted that under the outgoing GMD, the bank recorded very significant progress in both quantitative and qualitative terms. The Board also commended Mr. Durosinmi–Etti for his professionalism, simplicity and humility - qualities which distinguish him as a worthy leader and consummate banker, and wished him success in his future endeavours as he commences his terminal leave.
The bank said the appointment of Timothy Oguntayo is consistent with the bank’s tradition and succession strategy of grooming leaders from within.
Oguntayo is an alumnus of the prestigious INSEAD, Fontainebleau in France and a fellow of the Chartered Institute of Bankers of Nigeria. He is also an Associate of The Institute of Chartered Accountants of Nigeria. He has over two decades of banking experience in Corporate Finance and Investment Banking, Business Development, Credit and Marketing, and Operations.
He was appointed to the Board of the bank and its subsidiary companies in 2009. He was the pioneer MD/CEO of Skye Financial Services Limited (the investment banking arm of Skye Bank) before the bank’s divestment from it in 2012. He equally served on the Board of Skye Stockbrokers Limited and Law Union & Rock Insurance Plc. He is currently a Director on the Board of Kakawa Discount House Limited.