Banks’ Shareholders Alarmed Over N56.42bn Levies To AMCON

The National Chairman, Progressive Shareholders Association of Nigeria (PSAN), Mr Boniface Okezie, said that the shareholders were worried by the Asset Management Corporation of Nigeria AMCON’s resolutions regarding what banks should contribute. Okezie said that the banking stocks were no longer attractive to both local and foreign investors because of decreased dividends, concerns over regulatory penalties and threats to banks shareholders’ funds.

He said that the shareholders’ funds were being eroded annually by the sustained operation of the Banking Sector Resolution Cost Fund as observed in the 2014 financial year.

Investigations by the NAN showed that seven commercial banks contributed N56.42 billion to the AMCON in 2014. Some of the shareholders told the NAN in separate interviews in Lagos that banks’ contributions to the AMCON were making their stocks unattractive to investors due to dwindling and unimpressive
dividends.