Domestic Systemically Important Banks (D-SIB) accounts for N18.15 trillion or 68.9 percent banking sector total asset of N26.4 trillion at the end of December 2015, according to the Central Bank of Nigeria (CBN).
Similarly, the D-SIBs accounted for 71.3 per cent (N11.9trillion) of total industry deposit of N16.73 trillion. The D-SIBs also accounted for a significant portion of the loans and advances to the economy as at December 2015 with N9.54 trillion (71.45%) of the total N13.35trillion from the industry.
Heritage Bank limited which currently operates under N600 billion balance sheet size has given itself a five year target to become a systemically important. The bank promises to achieve the feat without compromising standards and indulgent in any unwholesome practices.
Ifie Sekibo, managing director/CEO, who was represented by Niyi Adeseun, executive director, service bank, disclosed this while receiving an award for most fastest growing bank by the Nigerian Pilot Newspapers in Lagos.
Presenting the leadership 2015 award, Prince Dennis Sami, said, “the winner of the award was voted by journalists across the country who chose the bank for the pace with which they have expanded their foot print across the country.”
Receiving the award Adeseun said: “We have given ourselves a five year target and we have achieved a massive part of it in three years, if not for this economic slowdown we would have been close if not there now. We will continue a little bit more and aspire to also get to a level where we can become systemically important bank that is our objective”.
Adeseun sees the economic situation presently as opportunity, adding that what is happening in Nigeria today is actually happening all over the world including other African countries, Europe, and America.
“Where we are now requires patience and we need to produce to get out of it. The much talked about economic diversification has not been taken serious, if it has been so the situation would have been different, “he said.
“As a bank, we need to begin to do things differently. We need to protect capital, liquidity and ensure that even if you cannot predict where revenue will come from we need to manage cost. This is not the time to have bad loans, some are bad already but the fact is everything is about economics. The main stay of the Nigerian economy is crude oil and it has gun down the way it is. We don’t know how long this will take but if we do the right thing and support the government, we will be out of it. Notwithstanding, we are doing the right thing as a bank by ensuring that we keep our cost low”, he added.
Responding to the issue of listing on the Nigerian Stock Exchange (NSE), he said, are not planning to be there alone; we are bringing SMEs that we have helped to grow over the years. Our objective is to produce more Dangotes in the nearest future. We feel happy that some people appreciated what we have done, since we started this institution a few years ago we had a plan and we are gradually working towards achieving our objectives. We thank you for voting us the fastest growing bank. Before we had the business combination with Enterprise Bank, we had about 15 branches; the business combination has helped us spread quickly to the level we are now. Since 2015, we have made effort to be everywhere that we want to be and we are happy that it is been recognised.