The Asset Management Corporation of Nigeria (AMCON) says it has repaid about N3.6 trillion to the Central Bank of Nigeria (CBN) since it was created in 2010.
Managing Director and CEO of the corporation Gbenga Alade disclosed this at a media parley in Lagos on Wednesday. He said that although AMCON paid N1.7 trillion to acquire the toxic assets of banks, it has been able to repay about N3.6 trillion and still owes about N3 trillion.
Mr Alade said AMCON stabilised the financial system by removing toxic assets from banks and injecting fresh funds. He explained that this helped to protect depositors and maintain confidence in the system, after which AMCON took over the eligible bank assets for management and disposal.
He noted that the AMCON Act gives the corporation priority in disputes with bank debtors over collateral and contracts.
Alade said, “As part of our recovery strategy, we have commissioned some foreign asset tracers who will help us locate where some of these obligors have hidden their assets across the globe.”
Speaking on AMCON’s financial performance since he assumed office, Alade said the corporation recorded total revenue of N156.25 billion and total operating expenses of N29.04 billion, with a total operating revenue-to-expenses ratio of 19 percent.
He added that projected revenue for 2025 is N215.15 billion while projected operating expenses are N29.06 billion, putting the operating-to-revenue ratio at about 13.5 percent.
Alade compared AMCON’s recovery record with similar institutions abroad. He said the corporation has achieved over 87 percent recovery based on the balance at purchase, noting that Malaysia’s Danaharta achieved 58 percent, while China’s equivalent recorded 33 percent. He said only South Korea’s KAMCO performed better with about 100 percent, which he attributed to stronger enforcement.
He added that AMCON has engaged consultants to carry out a comprehensive audit of all its cases at the Federal High Court, Court of Appeal and Supreme Court. He said the judiciary understands the challenges the corporation faces and has approved new practice directions to fast-track AMCON cases. The Federal High Court has also set up insolvency units to support the process.
Alade said AMCON’s recovery efforts have received support from President Bola Tinubu, the judiciary, the Central Bank of Nigeria, the Federal Ministry of Finance, the Attorney General of the Federation, the corporation’s board, law enforcement agencies, the National Assembly, the media and other government bodies.
He said the corporation “will continue to go about its recovery mandate with the fear of God, love of country, and complete adherence to the rule of law.” He added that some debtors may attempt to use the media to misinform the public, saying many of them took loans without intending to repay.
Alade said AMCON has made progress despite delays in the justice system and noted that its cases have contributed to legal developments, including the publication of the first AMCON Legal Compendium.
