CBN Adopts NSBP, Appoints Mahmood

Central Bank of Nigeria (CBN) has confirmed the adoption of the ‘Nigerian sustainable banking principle (NSBP) and the accompanying three sector guidelines – agriculture, power and oil & gas.

Mallam Sanusi Lamido Sanusi, governor of the CBN said the NSBP adoption “means the integration of social and environmental consideration into the bank’s operations, policies, processes, procedures and strategies; as well as provision of structural mechanism to support implementation at the industry level.”

Consequently, the apex bank has appointed Dr. A’isha Usman Mahmood, a consummate public administrator as special adviser to the CBN Governor on ‘sustainable Banking.’

Dr. Mahmood brings into her new portfolio years of working in the public services as a former Commissioner of Agriculture and Women Affairs, in Bauchi state.

She moves into her new job from the Federal Ministry of Environment, with specific function on ‘United Nations Multilateral Environmental Agreements on Chemicals and Hazardous Wastes’.

The NSBP consist of 9 over-arching principles for ‘managing environmental and social risk in business decisions’ and ‘managing the bank’s own environmental and social footprint.’

They also include: safeguarding human rights, promoting women’s economic participation/empowerment, promoting financial inclusion of communities and groups with limited or no access to the formal financial sector, meeting the imperatives for good governance, transparency and accountability.

Sanusi who stated that the NSBP’s final approval was sequel to that of the Nigerian Bankers’ Committee is aimed at helping the country achieve set targets, especially the UN Millennium development goals (MDGs).

The Principles also will include supporting capacity building in the sector, promoting collaborative partnerships to accelerate sector progress and reporting to take stock of sector progress and attendant needs.

“Sustainability being a complex and cross cutting issue requires a coordinated approach as a result of which an inter-departmental sustainability committee wa set-up-with membership from GVD, FPRD, HRD, PSSD, RMD, DFD and CDP,” said Sanusi.