Mr. Mele Kyari, the Group CEO of NNPC Limited, has emphasized that the board’s decision to transfer a substantial portion of the company’s revenues to the Central Bank of Nigeria (CBN) is in the country’s best interest.
Kyari, who made this assertion during a meeting with the governor of the CBN, Mr. Olayemi Cardoso, to evaluate the decision, mentioned that the national oil company would retain some of its positions with commercial banks.
He highlighted the benefits generated by this decision for all stakeholders, particularly in enhancing NNPC Ltd.’s ability to manage its cash-holding obligor limits set by the Board of Directors.
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Kyari affirmed, “We recognize the importance of reviewing our decision to transfer a significant portion of our revenues to the Central Bank of Nigeria at this juncture.” “We made that decision in line with the directives of our board of directors to maintain self-obligor limits with commercial banks.
“For us to do this, we do need additional support, particularly from the Central Bank to achieve this. We are a very huge company. Our transactions and liquidity levels are very high. Perhaps we are the largest business in this country.
“We are also happy that the CBN has also created a very robust digital platform for our transactions and also created a department that will deal with NNPC issues and it will create no hindrance to our operations.
“We will continue to collaborate with the Central Bank of Nigeria to ensure that further improvements are received to ensure that this relationship serves the best interest of our company and ultimately our country. NNPC will continue to maintain banking position with commercial banks.’’
On his part, the CBN governor, Cardoso explained that the apex bank has restructured and strengthen its internal processes to ensure there were no hitches in NNPC transactions.
“We have come to this stage where the NNPC has decided to move the respectable part of its business to the Central Bank of Nigeria
‘’I also want to say that we have restructured our internal processes such that we will be very capable of taking on this enormous responsibility that will be placed in the central bank.
“We are looking forward to further collaboration with NNPC and I have absolutely no doubt in my mind that this effective collaboration will work in the best interest of the NNPC and Nigerians in general,’’ Cardoso said.
A statement by NNPC Chief Corporate Communications Officer, Mr Olufemi Soneye, said both parties have also committed to further strengthening their collaboration to ensure seamless operations of the commercial NNPC Limited.