By Emele Onu, 08.17.2010 

 

The West African Monetary Zone (WAMZ) is embarking on cross-border bank supervision to promote the safety, soundness and resilience of the individual member countries’ financial system.

 

The College of Supervisors of the WAMZ (CSWAMZ) held its inaugural meeting yesterday in Abuja to fine-tune strategies for the cross-border supervision in the sub-region.A statement by the Central Bank of Nigeria (CBN) and signed by its Head of Corporate Communications, Muhammed Abdullahi, said the apex bank Governor, Sanusi Lamido Sanusi lauded the establishment of the CSWAMZ as being in line with the current thinking and international best practice of the monetary authority.

 

He however warned that CSWAMZ is not a substitute for national supervision of banks, but that it will improve the safety, soundness and resilience of the financial system of the individual member countries.Sanusi pointed out that apart from financial contribution to support the activities of WAMZ, efforts towards integration within the ECOWAS sub-region through such institutions as the West African Monetary Authority (WAMA), the West African Monetary Institute (WAMI) and West African Institute for Financial and Economic Management (WAIFEM) have recently been intensified.He said in realisation of the magnitude of the activities of Nigerian banks in the WAMZ, the CBN had to strengthen its supervisory structure and capacity to ensure the safety and soundness of the banking system.

 

The Director General of WAMZ, Dr. Femi Oshinkoya, thanked the CBN Governor for taking the initiative to host the inaugural meeting of the college and reminded participants of the emphasis on global financial stability; hence the need for the college to promote stability and risk management.CBN’s Deputy Governor, Financial System Stability, Dr. Kingsley Moghalu, noted that the decision to establish the CSWAMZ will enhance cooperation, information exchange and coordination amongst WAMZ supervisors.Participants at the meeting were drawn from The Gambia, Ghana, Guinea, Mali, Nigeria, Liberia and Sierra Leone.

 

Source:ThisDay