Petra MFB Vows to Beat Recapitalisation Deadline

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Emma Okonji

Following the recent order by the Central Bank of Nigeria (CBN), mandating all microfinance banks (MFB) to recapitalise, Petra MFB has assured its customers that it is working towards surpassing the minimum recapitalisation level stipulated by the regulator.

The bank made the disclosure at its 10th anniversary and Annual General Meeting (AGM), which held in Lagos recently.

The bank pledged to strengthen its operational capacity, grow the scale of its loanable funds as well as its capital base to meet its increasing customer demand.

Chairman, Board of Directors of the bank, Mr. Victor Dike, said: “It is instructive to inform shareholders that your bank is ahead in the process of complying with the new minimum capital regime announced by the CBN and will strive to continue to move ahead of the market in other things as well.

“In this regard, on behalf of the board and management, I request you all to invest in shares of the bank. Existing shareholders are enjoined to increase their investment in the bank.”

According to the chairman, the journey of Petra MFB started in 2008, an initiative of the Order of Preachers (Dominicans) to fulfil the burning desire to attend to specific needs of the active poor and small businesses in both the Catholic community and the larger society.

The bank’s chairman noted that the institution was making steady progress as it aimed to become the National Bank of the Catholic Church in Nigeria and also a leading micro-finance bank in the country.

He said Petra has begun the process of raising fresh capital in line with its dream of a  bigger bank, adding that earlier in the year, its board of directors engaged the services of a leading issuing house, Meristem Securities Limited, to support the process of raising additional capital of up to N1 billion in phases, as additional to its current paid-up capital of N134 million.

“We are currently working on the compliance requirements that are needed by the Security and Exchange Commision (SEC) for the approval of the share issue. At the time we started the process of raising capital, we were not aware, we were working towards  a mandatory future,” Dike said.

The Managing Director of the bank, Mrs. Joyce Muotoh Akpome, noted that the security challenges remained a significant constraint to economic activities as well as challenges of irregular power supply in the country.