Competence Test: CBN Begins Screening of all Banks’ Workers

Central Bank of Nigeria (CBN) has written to all banks and other financial institutions to furnish it with details of their staff competence levels.

According to a letter dated November 26, 2020, signed by Dr. Kevin Amugo, director, Financial Policy and Regulation Department, the CBN wrote to the financial institutions that it has “commenced the review of the extant framework and would be delighted to receive your input”.

This means that only those with the competence to carry out banking activities will be allowed to work as bankers while promotion will also be based on the level of competence of individual bankers.

The letter titled “Review of the competency framework for the Nigerian banking industry”, requested all the financial institutions to supply such information as the list of key management functions in their institutions; the key roles performed by individuals carrying out those functions; the skills and competences required to perform each management function; qualification(s) and/or professional certification(s) required in respect of those functions and the minimum working experience required of individuals appointed to carry out the functions.

The CBN urged all the financial institutions to continue with the “Mandatory Continuous Professional Development (MCPD) required of the individuals to continue to carry out those functions”.

This type of competency review was carried out on November 26, 2012 and executed two years later.

According to the CBN, the competency framework review was initiated to encourage “banks to accord high priority to the continuous enhancement of human capital and lifelong learning”.

It is expected that occupants of some job roles may not meet the requirements in this framework. Such occupants may continue to perform those roles but can only advance beyond the roles upon satisfying the requirements of the framework as they pertain to their current positions.

The reason for carrying out this periodic review, the CBN wrote in 2012, is to groom “new generation of banking professionals that are knowledgeable, skilled and competent to develop and deliver satisfactory banking products and services to consumers”

The development of a competency framework for the Nigerian banking industry, the apex bank said, “is predicated on the need for banks to accord high priority to the continuous enhancement of human capital and lifelong learning”.

This, the CBN said, “will imbue banking professionals with the requisite knowledge, skills and expertise not only at the strategic and management levels, but also at the technical and operational levels”.

The competency review will generate appropriately trained and competent human resources critical “in supporting the effective performance of the banking industry”.

This, the CBN added, “implies that continuous strengthening of intellectual resources and capabilities must be undertaken to create a pool of talented and high calibre professionals in the banking industry”.

The framework is expected to address the competency challenges in the banking industry, explore growth opportunities as well as critically facilitate improvement in the quality of the industry’s human capital.