Senate tasks AMCON on operational records ahead of 2030 wind-down

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Senate

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…Yuguda gets ‘bow and go’ treatment at screening

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By Henry Umoru

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ABUJA — The Senate Committee on Banking, Insurance and Other Financial Institutions has directed the Asset Management Corporation of Nigeria (AMCON) to begin compiling comprehensive records of its operations ahead of the agency’s planned expiration in 2030.

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The directive was issued on Tuesday by the committee, chaired by Senator Tokunbo Abiru (APC, Lagos East), during the screening of Lamido Abubakar Yuguda, the newly appointed Chairman of AMCON’s Board by President Bola Ahmed Tinubu.

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Yuguda, who appeared before the committee for screening, was asked to “bow and go” after lawmakers waived the need for extensive questioning, citing their familiarity with his credentials and previous engagements.

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AMCON was established in 2010 as part of efforts to stabilise Nigeria’s banking sector by acquiring non-performing loans (NPLs) and distressed assets from financial institutions.

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The corporation was given a 20-year operational lifespan, with a mandate to recover billions of naira in outstanding debts and support financial sector stability. Its tenure is expected to end in 2030.

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During the screening, Senator Sani Musa (APC, Niger East) urged the incoming board chairman and AMCON’s Managing Director, Gbenga Alade, to prepare a detailed status report on the corporation’s activities.

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Musa said the report should highlight AMCON’s achievements, challenges and outstanding responsibilities ahead of its scheduled wind-down.

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“AMCON was established to resolve challenges within the financial system, particularly non-performing loans, distressed banks and related financial obligations.

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“It has a statutory lifespan and is expected to wind up around 2030. Looking at that timeline, there is a need for this committee to receive an up-to-date report on the status of AMCON.

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“We need to know where the corporation stands today, what it has achieved since inception and what outstanding responsibilities remain before its expected sunset,” he said.

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The committee chairman, Senator Abiru, supported the concerns raised by Musa and said the committee expected a comprehensive response from the AMCON leadership.

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Abiru explained that the screening was kept brief because it was the third time Yuguda had appeared before the committee.

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“We deliberately decided to keep today’s exercise brief because this is already the third time the nominee has appeared before us.

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“We know him quite well, so today’s exercise has been more of a formal interaction,” he said.

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The committee said it would continue to monitor AMCON’s activities and ensure that the corporation fulfils its mandate before the expiration of its statutory lifespan.

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