Sterling Bank (Nigeria)
Encyclopedia
Sterling Bank Nigeria Plc. , also known as Sterling Bank (Nigeria), and as Sterling Bank Plc., but is commonly referred to as Sterling Bank, is a commercial bank
in Nigeria
. It is one of the commercial banks licensed by the Central Bank of Nigeria
, the national banking regulator.
, being the first Nigeria
n bank to be so licensed. In 1972, the bank became wholly owned by the Federal Government of Nigeria. Between 1974 and 1992, NAL Bank was managed as a government entity, in partnership with Grindlays Bank
, Continental International Finance Company of Illinois and American Express Bank Limited. In 1992, the bank was partly privatized and listed as a public company on the Nigeria Stock Exchange (NSE). In 2000, the Nigerian government divested totally from the bank, thus making it a fully privatized institution. In January 2006, NAL Bank completed a merger with four other Nigerian Banks namely Magnum Trust Bank, NBM Bank, Trust Bank of Africa and Indo-Nigeria Merchant Bank (INMB). The new combined bank adopted the name Sterling Bank.
, Asset management, Stock brokerage, Savings, Loans, Pension Funds Management
, Insurance Brokerage
and Registrar Services
, as well as current account
services for individuals and corporation
s.As of September 2008, the bank's branch network exceeded 100, scattered in all parts of Nigeria. , the bank's total assets were valued in excess of US$1.78 billion (NGN:279.3 billion), with shareholders' equity estimated at about $168.4 million (NGN:26.4 billion).
Commercial bank
After the implementation of the Glass–Steagall Act, the U.S. Congress required that banks engage only in banking activities, whereas investment banks were limited to capital market activities. As the two no longer have to be under separate ownership under U.S...
in Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...
. It is one of the commercial banks licensed by the Central Bank of Nigeria
Central Bank of Nigeria
The Central Bank of Nigeria was established by the CBN Act of 1958 and commenced operations on July 1, 1959.The major regulatory objectives of the bank as stated in the CBN act of 1958 is to: issue legal tender, maintain the external reserves of the country, promote monetary stability and a sound...
, the national banking regulator.
History
Sterling Bank Plc. was founded in 1960 as Nigeria Acceptances Limited (NAL). In 1969, it was licensed as a merchant bankMerchant bank
A merchant bank is a financial institution which provides capital to companies in the form of share ownership instead of loans. A merchant bank also provides advisory on corporate matters to the firms they lend to....
, being the first Nigeria
Nigeria
Nigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...
n bank to be so licensed. In 1972, the bank became wholly owned by the Federal Government of Nigeria. Between 1974 and 1992, NAL Bank was managed as a government entity, in partnership with Grindlays Bank
Grindlays Bank
The Grindlays Bank was a major British overseas bank established in 1828.It operated mainly in British colonies, especially British India. After decolonization, it was a major foreign bank in India, Pakistan and other West Asian countries. As ANZ Grindlays Bank, it was for a while the largest...
, Continental International Finance Company of Illinois and American Express Bank Limited. In 1992, the bank was partly privatized and listed as a public company on the Nigeria Stock Exchange (NSE). In 2000, the Nigerian government divested totally from the bank, thus making it a fully privatized institution. In January 2006, NAL Bank completed a merger with four other Nigerian Banks namely Magnum Trust Bank, NBM Bank, Trust Bank of Africa and Indo-Nigeria Merchant Bank (INMB). The new combined bank adopted the name Sterling Bank.
Overview
The bank operates as a fully diversified universal bank with operations in Investment BankingInvestment banking
An investment bank is a financial institution that assists individuals, corporations and governments in raising capital by underwriting and/or acting as the client's agent in the issuance of securities...
, Asset management, Stock brokerage, Savings, Loans, Pension Funds Management
Pension fund
A pension fund is any plan, fund, or scheme which provides retirement income.Pension funds are important shareholders of listed and private companies. They are especially important to the stock market where large institutional investors dominate. The largest 300 pension funds collectively hold...
, Insurance Brokerage
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
and Registrar Services
Registrar
A registrar is an official keeper of records made in a register. Registrar may also refer to:-Government records:* Recorder of deeds, government office which maintains public records related to real estate...
, as well as current account
Current account
In economics, the current account is one of the two primary components of the balance of payments, the other being the capital account. The current account is the sum of the balance of trade , net factor income and net transfer payments .The current account balance is one of two major...
services for individuals and corporation
Corporation
A corporation is created under the laws of a state as a separate legal entity that has privileges and liabilities that are distinct from those of its members. There are many different forms of corporations, most of which are used to conduct business. Early corporations were established by charter...
s.As of September 2008, the bank's branch network exceeded 100, scattered in all parts of Nigeria. , the bank's total assets were valued in excess of US$1.78 billion (NGN:279.3 billion), with shareholders' equity estimated at about $168.4 million (NGN:26.4 billion).
Sterling Group
The bank is a member of the sterling Group of Companies which includes the following institutions:- Sterling Registrars Limited - LagosLagosLagos is a port and the most populous conurbation in Nigeria. With a population of 7,937,932, it is currently the third most populous city in Africa after Cairo and Kinshasa, and currently estimated to be the second fastest growing city in Africa...
, NigeriaNigeriaNigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in... - Sterling Banking Group Insurance Limited - Lagos, Nigeria
- Sterling Asset Management Trust Limited - Lagos, Nigeria
- Sterling Capital Markets Limited - Lagos, Nigeria
- Sterling Bank Nigeria Plc. - The parent company - LagosLagosLagos is a port and the most populous conurbation in Nigeria. With a population of 7,937,932, it is currently the third most populous city in Africa after Cairo and Kinshasa, and currently estimated to be the second fastest growing city in Africa...
, NigeriaNigeriaNigeria , officially the Federal Republic of Nigeria, is a federal constitutional republic comprising 36 states and its Federal Capital Territory, Abuja. The country is located in West Africa and shares land borders with the Republic of Benin in the west, Chad and Cameroon in the east, and Niger in...