Report: Nigerian Banks Still Heavily Exposed to Oil Sector Obinna Chima Despite the sustained increase in crude oil price seen this year, the banking sector remains heavily exposed to the oil and gas sector, a report has revealed. Lagos-based CSL
Stockbrokers Limited, a research and financial advisory company stated this in a report titled, 'Tier 2 Banks- Emerging Rays of Silver Lining,' obtained by THISDAY. However, while the report noted that the risk to the oil and gas upstream sector
appears to be reducing, it pointed out that Nigeria’s power sector was still boded with high risk due to myriad of problems confronting the sector. Although, the report did not specify the present value of banking sector exposure to the
oil and gas sector, the Central Bank of Nigeria (CBN) had revealed that it constituted about 40 per cent of banks’ loan portfolio. But the Chief Executive of Financial Derivatives Company Limited, Mr. Bismarck Rewane, while reacting to the report’s
findings in a chat with THISDAY, attributed the situation to the restructuring of the facilities. “Banks are now restructuring those facilities,” he added. These could be part of the reasons why commercial banks
have remained apathetic towards lending. Continuing, the report anticipated that Nigerian banks would not replicate the spectacular performance it witnessed in 2017, after Continued on page 6
Tighter Supply Outlook Shores Up Crude Oil Prices to $75… Page 8 Tuesday 31 July, 2018 Vol 23. No 8505. Price: N250
www.thisdaylive.com TR
UT H
& RE A S O
N
Constitutional Steps to Impeachment Past police abuse: Ngige, Ladoja, Obi, Dariye Tobi Soniyi The Constitution of the Federal Republic of Nigeria, 1999 as amended provides
N E W S A N A LY S I S for the removal of a state governor in Section 188 as
follows: (1) The governor or deputy governor of a state may be removed from office in accordance with the provisions
of this section. (2) Whenever a notice of any allegation in writing signed by not less than one third of the members of the House of
Assembly(a) is presented to the Speaker of the House of Assembly of the state; (b) stating that the holder of
such office is guilty of gross misconduct in the performance of the functions of his office, Continued on page 8
Police Aid Eight of 30 Benue Lawmakers in Impeachment Move against Ortom PDP, rAPC warn against derailment of democracy Saraki, Dogara, Atiku, Olanipekun, others condemn action Davidson Iriekpen, Tobi Soniyi in Lagos, Deji Elumoye, Onyebuchi Ezigbo, Senator Iroegbu in Abuja and George Okoh in Makurdi The crisis rocking the Benue State House of Assembly yesterday took a new dimension as the impeached Speaker, Terkimbi Ikyange, and seven other members regained control of the assembly with the aid of the police and
commenced impeachment proceedings against Governor Samuel Ortom. The governor, however, dismissed the exercise as an unconstitutional act, saying the 1999 Constitution as amended did not contemplate a situation where eight of 30 members of the state legislature would initiate the impeachment of the governor. Continued on page 6
Buhari: I'm Not Bothered by Defections... Page 42
GOOD TO SEE YOU... L-R: Cross River State Governor, Prof. Ben Ayade; President Muhammadu Buhari; Niger State Governor, Alhaji Sani Bello, and other members of the Nigerian delegation, after a meeting with the Nigerian community in Lome, Togo…yesterday state house