In a sweeping move that underscores the ongoing restructuring within Nigeria’s financial sector, the Central Bank of Nigeria (CBN) has terminated the appointments of all executive directors at the Nigeria Incentive-Based Risk Sharing System for Agriculture Lending (NIRSAL).

This decision, approved by CBN Governor Olayemi Cardoso on Friday, signals the latest in a series of high-level dismissals at the apex bank since his assumption of office last year.

The executive directors affected by the CBN’s decision include Abbas Umar Masanawa, who served as the Managing Director and Chief Executive Officer, Kennedy Nwaruh, the Executive Director of Operations, and Olatunde Akande, the Executive Director of Technical Services.

Their dismissals come as part of a broader organisational and human capital restructuring process initiated by the CBN.

NIRSAL, a non-bank financial institution wholly owned by the CBN, was established in 2013 with a mandate to stimulate agricultural finance and investments.

The institution has played a pivotal role in de-risking the agricultural value chain in Nigeria, having facilitated over N219 billion in funding for the sector since its inception.

By providing risk management tools and financial incentives, NIRSAL has been instrumental in encouraging commercial banks to lend to agriculture, a sector often perceived as high-risk.

A source within NIRSAL confirmed the dismissals, noting that remaining staff members are currently awaiting further information on the circumstances surrounding the executive directors’ removal.

The termination letters, according to the source, cited an ongoing major organisational and human capital restructuring process as the reason for the layoffs.

This move is part of a broader trend at the CBN, which has seen a significant number of staff dismissals over the past year.

Since Cardoso took office, the apex bank has implemented a series of layoffs aimed at restructuring its operations and improving efficiency.

In May, the CBN dismissed seven directors and over 90 senior management staff, further indicating the scale of the restructuring effort.

These widespread dismissals have raised concerns about the impact of the CBN’s restructuring on its operations and the broader financial system.

The removal of top executives at NIRSAL, an institution critical to the development of Nigeria’s agricultural sector, has particularly sparked discussions about the future direction of the organisation.

As the CBN continues its restructuring process, questions remain about the implications for NIRSAL and its ability to fulfill its mandate of supporting agricultural development in Nigeria.

The uncertainty surrounding the leadership changes has left many stakeholders in the agricultural sector anxious about the potential impact on agricultural financing and investments.

With the restructuring still underway, it remains to be seen how these changes will affect the CBN’s broader goals of economic stability and growth, particularly in sectors like agriculture that are vital to Nigeria’s economy.