Newspaper of the Year
Yam sellers to raise N5b for Buhari NEWS
Page 6
•To donate 5million yams’ proceed
News Fire razes shops, school in Ondo P7 Sports AFCON miss sad, says Oshaniwa P41 Business Govt fails 5,000mw power target P57
•Nigeria’s widest circulating newspaper
VOL. 9, NO. 3081 WEDNESDAY, DECEMBER 31, 2014
•www.thenationonlineng.net
TR UTH IN DEFENCE OF FREEDOM TRUTH
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CBN warns banks against loans to oil and gas, public sectors
B
ANKERS have got a warning on the dire consequences of the falling oil price on loan advances to the oil and gas as well as the public sector. In a letter to all banks signed by Central Bank of Nigeria (CBN) Director, Banking Supervision, Mrs.
By Collins Nweze, Snr. Correspondent
Tokunbo Martins, the apex bank said the falling oil prices and the potential for a further decline had been a major concern. Many states have been unable to pay salaries as banks
shut the tap amid dwindling and delayed allocations. Mrs. Martins said considering the quantum of exposure to the oil and gas sector, combined with risk management deficiencies revealed by the recent Risk Based Supervision, there is a need to proactively guard against a crystal-
lisation of these risks. “The CBN therefore considers it essential to ensure that banks have sufficient capital buffers to mitigate these escalating risk taking activities. Where exposure to the oil and gas sector (as defined by the International Standard Industrial Classification of Eco-
nomic Sectors as issued by the CBN) is in excess of 20 per cent of total credit facilities of a bank, the risk weight of the entire portfolio in the sector will attract weight of 125 per cent for the purpose of capital adequacy computation,” she said in the letter titled: “Oil and Gas Industry Credit Risk
Mitigation”. Oil prices have declined from $107.89 per barrel in June to $85.06 per barrel in October, and trading at $57.33 per barrel. The possibility of further decline, Mrs. Martins said, should not be underestimated. Continued on page 4
•Members of the Indonesian Air Force show items retrieved from the Java Sea...yesterday PHOTOS: AFP
40 bodies of AirAsia jet passengers found on sea
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FTER three days of searching, bodies, luggage and aircraft parts of doomed AirAsia flight 8501 were yesterday recovered from the Java Sea. Indonesian Navy said no fewer than 40 bodies were recovered. Many of the remaining 122
victims are thought likely to still be on board the aircraft. A naval spokesman said the rescuers remained “very busy” retrieving the victims. Before darkness fell in the area, search teams identified a shadow that they believe to be the plane’s fuselage beneath the
water, which is relatively shallow at just 160 feet at its deepest point. The recovery of 40 bodies came as devastated relatives of AirAsia crash victims collapsed in grief and were taken to hospital after an Indonesian televiContinued on page 4
•Family members of passengers react after watching news reports showing an unidentified body floating in the Java sea, inside the crisis-centre set up at Juanda International Airport in Surabaya…yesterday.
2015: Jonathan gets bloody nose on corruption
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WILL THE CHIBOK GIRLS KIDNAPPED ON APRIL 15 EVER RETURN?
Tinubu, Akanbi, Yusuf attack govt President defends his performance
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DAMNING verdict was yesterday returned on President Goodluck Jonathan’s anti-corruption battle. The government has lost the battle, some eminent citizens said. The subject dominated public dis-
From Adekunle Jimoh, Ilorin
course as leaders looked ahead to the New year. To Independent Corrupt Practices and other Related Offences Commission (ICPC) pioneer Chairman Justice Mustapha Akanbi, corruption is esca-
lating. Foremost lawyer Yusuf Ali (SAN) said: “There is no drive against corruption by the current government and that is quite obvious because the president believes that there is no corruption in Nigeria. He believes that
what is going on is petty stealing.” All Progressives Congress (APC) national leader Asiwaju Bola Ahmed Tinubu is worried about “the everwidening inequality between the wealthy minority and the impoverContinued on page 4
•OGUN WORKERS GET DEC. SALARY WITH BONUS P8 COURT STOPS ONDO PDP’S LIST P8