CBN, SEC okay Ecobank custody business

Ecobank Nigeria Limited has received approvals from the Securities and Exchange Commission and the Central Bank of Nigeria for the launch of its custody business operations in the country.

In a statement from the bank on Sunday, the Ecobank Group said the custody business in Nigeria would be provided through Ecobank Nominees Limited, the special entity set up to hold clients’ assets separate from the bank’s assets.

The Ecobank Group, in its custody services in its other subsidiaries within the Central Africa, Francophone and Anglophone West Africa regions, has a combined asset size of over $4bn in Assets Under Custody.

Announcing the launch in Lagos, Managing Director/Regional Executive, Ecobank Nigeria, Bolaji Lawal, stated that the new custody offering positions the Bank to offer more value-adding banking and investment solutions to its customers.

He said, “As a Pan-African Bank with a gateway into other African countries, there was an identifiable gap to offer custody services in Nigeria. We have therefore decided to provide a better way for Nigerian investors to protect their assets and to spread their business interests across the continent seamlessly, through our support.”

The Head of Custody/Managing Director of Ecobank Nominees Limited, Adebola Adedeji, also disclosed that the custody business has fully commenced operations, is now in the market for business and already signing on customers.

She explained, “The custody business is set to position the bank as a one-stop shop offering premium financial services and investor solutions to our valued customers. Custody services are already being offered in some other countries where Ecobank has operations, and expanding into Nigeria will further serve as an inroad to the African and international markets for our customers.

“Ecobank custody offers an efficient post-trade service with the deployment of a world-class technology solution that will enhance the client experience at every stage of the investment cycle. Our comprehensive service offerings include settlements, fund administration, corporate actions processing, portfolio valuation, FX services, securities lending, cash management, escrow agency services, reporting, and multi-market access through Ecobank Group affiliates, amongst others.”

Custody services involve the safekeeping and management of financial assets on behalf of clients.