Bank customers detail implications of two Nigerian banks merger

President of the Bank Customers’ Association of Nigeria, Uju Ogunbunka, has detailed the implications of the merger of two Nigerian financial institutions, Providus and Unity Banks. 

This comes as the two banks, on Sunday in a statement, announced a new name, ProvidusUnity Bank. 

Reacting, the president of the Bank Customers’ Association of Nigeria, Dr. Uju Ogunbunka, in an exclusive interview with DAILY POST on Monday, said the merger had saved customers the nightmare of lost deposits. 

According to him, the merger had prevented the collapse of two banks and its attendant implications for banks’ customers. 

“It is healthy development because if the merger were not done, what we have been discussing is the collapse of one or both of them. It will save the country from another collapsed bank and the implications of lost customers’ deposits, trust in the country’s banking system, and, of course, a decline in portfolio investment in the country,” he told DAILY POST. 

The development comes barely three months after the Central Bank of Nigeria completed the Nigerian banks’ recapitalization exercise, with 33 banks raising N4.65 trillion. 

DAILY POST reports that in the last two years, major banks, including Aso Savings and Loan and Heritage, have collapsed.