The Asset Management Corporation of Nigeria (AMCON) has announced that it has repaid approximately N3.6 trillion to the Central Bank of Nigeria (CBN) since its inception in 2010. This significant milestone was disclosed by the corporation’s Managing Director, Gbenga Alade, during a media briefing in Lagos. Alade described the repayments as a notable national achievement, highlighting that AMCON had paid N1.7 trillion to acquire toxic bank assets and has since reimbursed N3.6 trillion, with an outstanding debt of around N3 trillion.
AMCON’s primary objective is to stabilize distressed banks by removing toxic assets and injecting funds, a strategy that aligns with global corporate insolvency and restructuring standards. The corporation’s intervention has boosted public trust, as depositors have gained confidence in the banking system, knowing that banks can meet their obligations without liquidity concerns. AMCON continues to manage thousands of eligible bank assets, preparing them for disposal through transparent and market-driven processes.
The AMCON Act grants the corporation priority rights in disputes with bank debtors, reversing the usual contractual and securities hierarchy in Nigeria. To enhance recovery efforts, AMCON has engaged foreign tracers to locate hidden assets belonging to obligors who have attempted to evade repayment by moving properties across the globe. In terms of financial performance, AMCON recorded N156.25 billion in revenue, with operating expenses of N29.04 billion, demonstrating a disciplined spending culture.
Alade noted that AMCON’s performance surpasses that of many global asset management agencies, despite Nigeria’s complex recovery environment and weak repayment culture. The corporation has achieved over 87% recoveries, outperforming Malaysia’s Danaharta, which recorded 58% recoveries, and China’s Asset Management Corporation, which achieved only 33%. Only South Korea’s KAMCO has outperformed AMCON, achieving around 100% recoveries through strict enforcement strategies.
AMCON’s efforts have not gone unnoticed, with the judiciary acknowledging the corporation’s challenges and approving new Practice Directions to fast-track pending debt recovery matters nationwide. The Federal High Court has also created Insolvency Units to ensure AMCON cases are treated swiftly and consistently. With strong support from the government, the CBN, and other institutions, AMCON remains committed to its mandate, pursuing recoveries until every outstanding debt is realized in accordance with the law. As the corporation continues to navigate the complexities of debt recovery, its progress reinforces the significance of its role in maintaining the stability of Nigeria’s financial system.
