2021-09-03 | BSD/DIR/PUB/14/063

Guidelines on Large Exposures (LEX)

The Central Bank of Nigeria's Large Exposures (LEX) guidelines aim to align the country's banking supervision with Basel Committee standards and ensure a consistent approach to managing large exposures. The guidelines apply to commercial, merchant, and non-interest banks, addressing exposures to single counterparties or groups of connected counterparties. Banks must report large exposures monthly and adhere to exposure limits, with breaches requiring immediate communication and swift rectification. The guidelines also outline risk management requirements and provide a transition arrangement for banks to adapt to the new framework.

Nigeria

Central Bank of Nigeria

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