Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 03LAGOS2140, NIGERIA: RESPONSE TO EX-IM QUERIES ON NIGERIAN

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #03LAGOS2140.
Reference ID Created Released Classification Origin
03LAGOS2140 2003-10-17 12:46 2011-08-25 00:00 UNCLASSIFIED Consulate Lagos
This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 LAGOS 002140 
 
SIPDIS 
 
 
SENSITIVE BUT UNCLASSIFIED 
 
 
STATE PASS TO EX-IM FOR CHERYL MORIARTY, RITA MURRELL, 
PAMELA ROSS, MAUREEN SCURRY AND ANITA TURI-WRIGHT 
 
 
E.O. 12958: N/A 
TAGS: EFIN EINV ECON PINR NI EXIM
SUBJECT: NIGERIA: RESPONSE TO EX-IM QUERIES ON NIGERIAN 
BANKING SECTOR 
 
REF: (A) STATE 287449, (B) MORIARTY-FULLER EMAIL OF 
08222003/0737, (C) MURRELL-KRZYWDA EMAIL OF 
08252003/0228 
 
 
1. (U) Rumors of distress in the Nigerian banking 
sector have raised doubts about the industry's health 
and prompted questions about certain banks' stability. 
Post's response follows. 
 
 
2. (U) Rumors of a list of distressed banks first 
surfaced in mid-August.  Central Bank of Nigeria (CBN) 
and Nigeria Deposit Insurance Corporation (NDIC) 
contacts deny the existence of an explicit list of 
troubled banks but inicate that ten or twelve may be 
facing temporaryliquidity problems; these may undergo 
special CBNor NDIC examinations.  Extremely unhealthy 
bankscould eventually be liquidated, but troubled 
insittions ill more likely be asked to restructure, 
re-capitalize or improve corporate governance 
ractices.  Flagrant violations of CBN regulations 
could result in fine 
or sanctions, but most of thse 
can eventually be overcome. 
 
 
3. (SBU) The Central Bank of Nigeria (CBN) suspended 
two banks, Societe Generale Bank of Nigeria and African 
International Bank, from its clearinghouse in mid- 
August for consistently overdrawing their CBN accounts. 
Both banks had long been suspected of having serious 
capitalization or liquidity problems, and both are now 
attempting to re-capitalize and re-enter the 
clearinghouse.  Societe Generale's troubles gained 
notoriety when the Nigerian press reported that a 
number of prominent figures (national lawmakers among 
them) had rather large accounts at the bank.  Industry 
insiders not only confirm these reports but whisper of 
additional irregularities.  A senior official of the 
Nigeria Inter-Bank Settlement System told us, in fact, 
that one of Societe Generale's directors, Dr. Sola 
Saraki of Kwara State, secured large loans for his 
son's (ultimately successful) gubernatorial campaign 
without providing repayment.  He argues that the bank's 
failure to recover these and other loans played a major 
role in weakening its books, but with fresh injections 
of funds (more than $15 million landed in the bank's 
accounts a few days ago), the bank may eventually 
recover. 
 
 
4. (U) The Bank of the North has equally poor loan 
recovery rates, but its problems have not been severe 
enough to warrant suspension from the industry's 
clearinghouse.  The CBN replaced the bank's board of 
governors in mid-August (the new board is charged with 
restructuring and re-capitalizing the bank), and the 19 
northern states that own the bank have since committed 
to fresh injections of funds.  CBN contacts indicate 
that future loans to northern state governments will be 
severely limited; if this is true, the bank's liquidity 
profile will likely improve.  Given the bank's 
ownership structure and the political ramifications of 
failure, the bank will likely remain operational. 
 
 
5. (U) CBN and NDIC contacts indicate that Reliance 
Bank and Platinum Bank are generally healthy, but the 
banks' published accounts are more than a year old. 
The CBN completed its examination of Reliance Bank in 
late September but has yet to prepare a final report. 
While the deputy director of the CBN's bank examination 
department in Lagos said he knew of no specific 
irregularities or negative practices, he did mention 
that three of the bank's owners, the Vaswani brothers, 
had been deported after allegations of widespread 
economic and financial crimes; their misdeeds may or 
may not indicate gaps in the bank's corporate 
governance practices.  The NDIC, meanwhile, has yet to 
begin its examination of Platinum Bank.  According to 
NDIC contacts, Platinum emerged three years ago from 
the liquidation of Nationwide Merchant Bank, one of 
nearly thirty institutions liquidated by the CBN in the 
late 1990s.  A well and favorably known professor at 
the Lagos Business School, Pat Utomi, is one of 
Platinum Bank's directors (and chairman of Business 
Day, Nigeria's leading daily business newspaper). 
 
 
6. (SBU) Two other banks, NAL Merchant Bank and 
Cooperative Development Bank, also appear relatively 
healthy.  CBN contacts indicate that the banks are 
sound, but the deputy managing director of Financial 
Derivatives Company Limited, a Lagos-based economic 
think tank, suggested that he would be reluctant to 
enter into anything other than short- to medium-term 
transactions with either bank. 
 
 
7. (U) In general, the CBN's supervisory oversight 
appears sufficient.  The institution's regular 
examinations of Nigerian banks have resulted in the 
closure or liquidation of 35 banks since 1994 and the 
mid-2002 sanctioning of approximately twenty others for 
foreign exchange violations; these have largely stopped 
since then, and respect for the CBN has increased.  The 
institution supports Nigerian banks' links with foreign 
counterparts and generally does all it can to ensure a 
stable financial system.  The CBN has largely been 
successful: in general, the Nigerian banking sector is 
healthy, and industry insiders insist that the sector 
is set for continued growth. 
 
 
GREGOIRE