The Central African Banking Commission (COBAC) on July 28, declared the National Financial Credit Bank Plc (NFC Bank) solvent and profitable again, after a long restructuring period dating back to 2012.
It was during a solemn ceremony in Yaounde presided at by Yvon Sana Bangui, COBAC’s statutory president and Governor of the Bank of Central African States (BEAC), in the presence of the Minister of Finance, Louis Paul Motaze.
The restructuring process, initiated in 2012 and approved in 2019 by COBAC, mobilized nearly FCFA 25 billion, according to Bangui, facilitating the bank’s recapitalization, the clearance of its losses, the resolution of asset shortfalls, and the cleanup of its balance sheet.
“NFC Bank now has sufficient net equity to comply with all prudential standards,” Bangui declared.
The COBAC chair noted that the business rescue couldn’t have been achieved without the decisive role of Cameroon’s highest authorities, “whose constant and resolute support enabled the preservation of the institution’s operations, the restoration of its financial health and the establishment of a renewed governance framework.”
The completion of the restructuring process has enabled the lifting of a provisional administration and the appointment of a new board of directors led by Aminou Bassoro. Julius Manjo Berdu and Aelred Tata Forwen were respectively named General Manager and Deputy General Manager.
The government currently holds 99.92% stake at NFC Bank, which is expected to be transferred to a strategic private investor by July 28, 2027. COBAC has committed to ensure that the transfer deadline is respected. The commission is also keen to monitor the regularity of operations, the compliance of management practices and the implementation of residual actions outlined in the restructuring plan.
It should be recalled that NFC Bank was created as a financial institution under the name National Financial Credit Company (NFCC) and registered at the National Credit Council (NCC) on December 20, 1998. Its legal headquarters is in Bamenda while the administrative headquarters is at Avenue Charles de Gaulle in Yaounde. Although it began operations in 1990, it only became a licensed commercial bank in 2006 following accreditation by COBAC.
