The Central Bank of Nigeria (CBN) has issued a new rule requiring Domestic Systemically Important Banks (DSIBs) to secure regulatory approval for the appointment of a new Managing Director at least six months before the current CEO’s tenure ends.
The directive, detailed in a circular signed by Director of Financial Policy and Regulation, Rita Sike, was published on the CBN’s website.
The apex bank stressed that sudden leadership changes in large banks can destabilise not only the financial system but also the wider economy. The rule, it explained, is designed to ensure smooth transitions, give incoming executives enough time to prepare, and safeguard long-term sector stability.
The CBN emphasised that early planning and regulatory oversight are crucial in avoiding disruption and preserving confidence in Nigeria’s banking industry.
