FG Urged: Scrap or Sustain AMCON as New Board Takes Off

Stakeholders and shareholders across Nigeria’s financial ecosystem are intensifying calls for the Asset Management Corporation of Nigeria (AMCON) to wind down its operations, arguing that the Corporation has outlived its purpose amid a now stable and well-capitalised banking industry.

These calls come as the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Olawale Edun, on Wednesday inaugurated a new Board of AMCON, reaffirming the Federal Government’s commitment to stabilising the financial sector and accelerating economic recovery.

The brief but significant inauguration ceremony took place at the Ministry of Finance headquarters in Abuja, and was attended by top government officials and financial sector leaders, including the Honourable Minister of State for Finance, Mrs. Doris Nkiruka Uzoka-Anite, and the Ministry’s Permanent Secretary.

In his remarks, Edun stated that the new board is expected to steer AMCON in alignment with the government’s broader economic reforms. He underscored the importance of sustaining stability and driving recovery, especially in light of global financial uncertainties.

However, recent deliberations at Annual General Meetings (AGMs) of financial institutions across the country have revealed growing opposition to AMCON’s continued existence. According to various stakeholders, the Central Bank of Nigeria (CBN) and the Chartered Institute of Bankers of Nigeria (CIBN) have both affirmed that Nigeria’s banking sector is now strong and resilient, rendering AMCON’s interventionist role less relevant.

Shareholders voiced two major concerns. First, many believe that AMCON should be phased out, given that it was established in 2010 as a temporary response to a systemic banking crisis that no longer exists. Second, if the Federal Government considers AMCON essential to its economic strategy going forward, it should assume full responsibility for its funding.

Currently, Nigerian banks finance AMCON’s operations on annual increment despite also paying taxes and other regulatory fees. Industry observers argue that this financial burden is no longer justifiable, particularly as banks are also being called upon to recapitalise in line with new regulatory thresholds.

“Banks are already funding growth, paying taxes, and preparing for recapitalisation. Continuing to fund AMCON places an undue burden on them,” one shareholder said during a recent AGM.

As AMCON’s new leadership begins its tenure, analysts say the Corporation must redefine its purpose and scope. There are growing expectations that the government will provide clear direction—either by transitioning AMCON into a fully funded public agency with strategic relevance or by beginning a structured wind-down of its operations.

With the financial system now viewed as healthy and secure, the future of AMCON is shaping up to be a critical test of how Nigeria adapts its economic institutions to evolving realities.

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