THE CHARTERED INSTITUTE OF BANKERS OF NIGERIA (CIBN)

The Chartered Institute of Bankers of Nigeria (CIBN) is the umbrella professional body for
bankers in Nigeria. The CIBN was incorporated in 1976 as the Nigerian Institute of Bankers. It
was chartered in 1990, and is now covered by the CIBN Act 5 of 2007. The Institute is
authorized to control entry into the banking profession, to set standards for bankers and to
maintain professional ethics through sanctions of erring members. Corporate members include
the Central Bank of Nigeria, the Nigeria Deposit Insurance Corporation and all Deposit Money
Banks, Development Banks, Mortgage Banks, Microfinance Banks and Discount Houses in
Nigeria.

IT'S PRINCIPAL RESPONSIBILITIES

These include the determination of the standards of knowledge and skills to be attained by
persons seeking to become members of the banking profession, conducting professional
examinations leading to the award of certificates and ensuring the furtherance , maintenance
and observation of ethical standards and professionalism among practitioners of the banking
profession in Nigeria.

A REVIEW OF THE SELF REGULATORY MECHANISMS OF CIBN

Self-regulatory mechanisms here refer to the internal policies and procedures that the institute
uses to regulate its members and ensure ethical conduct within the banking industry in Nigeria.
Self-regulation is demonstrated by being conscious and consistent in paying attention, being
proactive and passionate about applying leading practices in displaying positive attitudes,
behaviours and practices to protect the best interest of the organisations and that of the different
multiple stakeholders associated with the organization at all times whether or not required by
regulations.

Banks hold substantial amounts of depositors or customers’ hard earned money in trust, and
anything that will cause betrayal of the trust should be prevented by all means to prevent turmoil
in the economy. This implies that the banks should be held to the highest level of scrutiny,
oversight, and regulations more than other business sectors.
To ensure that the banking organisations imbibe corporate governance principles in their
organisations to prevent wrong
doings, legal and regulatory frameworks, policies, processes and standard operating
procedures defining the acceptable practices to be maintained and unacceptable practices to be
avoided and consequences of violations need to
be established and enforced by both government and non-government agencies including self-
regulating organisations regulating the entities within
their domains. Self-regulation principles help the organisations and employees to adopt leading
practices beyond legal and regulatory standards to build, win and sustain stakeholder’s
confidence in the financial industry.

CODES OF CONDUCT FOR CIBN

1.There is established a body to be known as Chartered Institute of Bankers of Nigeria (in this
act referred to as 'the Institute')

The Institute

Shall be a body corporate with perpetual succession and a common seal;

May sue and be sued in its corporate name; and may acquire, hold and dispose of any property,
movable and immovable

2. Subject to the provision of this act, membership of the Institute shall be in two categories viz
corporate and individual.

All persons employed in the banking institution in Nigeria are eligible to be registered by the
Institute in any of the following categories -

Ordinary Member

Student Member

Graduate Member

Associate Member

Honorary Member

Honorary Fellow; and

Fellow

Provided they meet the criteria set by the Council of registration in the category from time to
time.

3. Pursuant to subsection (1) of this section, all corporate members shall cause their staffs to
register with the Institute to ethical standards professionalism and self-regulation in the banking
and financial services industry.
4. A Person registered under this Act shall be enrolled to a higher membership status in any of
the following categories

As an Ordinary Member if he -

Satisfies the Council that he is eligible to be so registered;

Works in a bank or other financial institutions; and

Does not fall within any of the other categories specified in paragraphs (b)-(g) of this subsection.

As a Student Member if he -

Satisfies the Council that he is eligible to be so registered

Has been an Ordinary Member and

Has passed associate-ship examinations but has not met other conditions specified in
paragraph (d) of this subsection

As an Associate Member if he -

Satisfies the Council that he is eligible to be so registered and has passed the associate-ship
examination and;

Has acquired on the job practical banking or related experience for such number of years that
may be specified by the Council;

As an Honorary Senior Member if he -

Satisfies the Council that he is eligible to be so registered,

Has obtained such academic, professional or other qualifications(s) as may be prescribed by

Has held any senior management positions in a bank or other financial institutions, and

Is neither a Fellow or an Associate.

As an Honorary Fellow if he satisfies the Council that he is eligible to be awarded the Honorary
fellowship of the Institute;

As a Fellow if he -
Satisfies the Council that he is eligible to be so registered and has for a number of years (to be
specified by the Council) been an Associate Member of a holder of approved academic
qualifications, and

Satisfies all other criteria as may be specified by the Council from time to time.

As a Corporate Member if it -

Satisfies the Council that he is eligible to be so registered; and

Satisfies all other criteria as may be specified by the Council from time to time

5. A Member or a corporate Member of the Institute shall be entitled to receive from the Council,
a letter of registration of membership for the category of membership.

6. A Fellow, Honorary Fellow, Honorary Senior Member or an Associate shall be entitled to the
use of such letter after his name as may be authorised by the Council from time to time as
follows

A Member registered into the category of Member of Fellow shall be entitled to use the initials
"FCIB",

A Member registered into the category of Honorary senior Member shall be entitled to use the
initials "HCIB", and

A Member registered into the category of membership of Associate shall be entitled to use the
initials "ACIB"

7. No person shall be entitled to be employed or appointed or engaged to the head of any of the
technical departments of a bank unless he is duly registered as a Member of the Institute.

MECHANISMS AND OPERATIONS OF CIBN

CIBN typically operates through several mechanisms to regulate their members and ensure
adherence to industry standards. Here are some common mechanisms used by CIBN:

1. Setting Standards and Codes of Conduct: CIBN establishes professional standards and
ethical codes that its members, who are bankers in this case, are expected to follow. These
standards cover various aspects of banking practices, ethics, and professionalism.

2. Certification and Training: CIBN often offers certification programs and training courses to
ensure that bankers have the necessary skills and knowledge to meet industry standards. By
setting educational requirements, CIBN ensures that its members are well-qualified.
3. Monitoring and Enforcement: CIBN monitors the activities of its members to ensure
compliance with established standards and codes of conduct. This might involve regular audits,
inspections, or assessments of member institutions and individuals.

4. Disciplinary Actions: In cases of misconduct or violation of the established standards, CIBN

5. Educational Initiatives: CIBN often engages in public awareness campaigns and

6. Collaboration with Regulatory Bodies: CIBN works closely with government regulatory
bodies to align their efforts. This collaboration ensures that industry standards set by CIBN are
in line with the regulatory framework established by the government.

By employing these mechanisms, CIBN acts as a self-regulatory organization, fostering a high

IMPACT OF CIBN IN THE FINANCIAL SERVICE INDUSTRY.

The Chartered Institute of Bankers of Nigeria (CIBN) is a professional body that has a significant
impact on the financial services industry in Nigeria. It sets the standards for banking and finance
professionals, and its members are bound by a code of ethics. It also provides training and
certification programs, and advocates for the interests of the industry. In addition, the CIBN has
been instrumental in shaping policy and regulations related to banking and finance in Nigeria.
The CIBN has a number of specific impacts on the financial services industry in Nigeria. Firstly,
it has helped to raise the standards of professionalism in the industry. Secondly, it has
contributed to the growth and stability of the banking sector. Thirdly, it has played a role in
promoting financial inclusion in Nigeria.There are a number of ways that the CIBN helps to
promote financial inclusion in Nigeria. Firstly, it has created a Financial Inclusion department,
which is tasked with developing policies and strategies to promote access to financial services
for all Nigerians. Secondly, it has launched initiatives such as the Microfinance Development
Programme, which provides training and capacity building for microfinance institutions. Thirdly,
it has supported the creation of the National Financial Inclusion Strategy, which aims to increase
access to financial services for all Nigerians by 2020. And lastly, it has been involved in
developing the capacity of the financial services sector through training and education. Overall,
the CIBN's impact on the industry has been positive and has helped to make it more competitive
and efficient.
The financial industry in Nigeria has seen a number of positive impacts from the work of the
CIBN. Firstly, it has helped to increase the number of people with access to formal financial
services. Secondly, it has played a role in reducing poverty by improving financial inclusion.
Thirdly, it has helped to improve financial literacy and awareness among Nigerians. Fourthly, it
has helped to increase the availability of affordable financial products and services. And lastly, it
has helped to improve the regulatory framework for the financial sector. All of these factors have
helped to make the financial industry more inclusive and beneficial for the people of Nigeria.