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Not fewer than 12 banks have been fined N499 billion due to their failure to give out 60% of their deposits as loans, according to the Central Bank of Nigeria (CBN).
        According to the Cable, the apex bank said it has deducted the fine from the cash reserve of the affected banks. Cash Reserve Ratio (CRR) is a portion of the Nigerian banks' deposits which are required by law to be kept with the CBN. The CBN had also on Tuesday, October 1, raised the lending ratio of banks from 60% to 65% and gave December as the deadline for all banks to comply with the directive. Explaining the reason behind the new directive, the apex bank said the move is important as there has been an impressive growth in the level of the industry gross credit. The directive is also put in place to increase lending to small businesses to facilitate the growth of the economy. CBN data showed that loans made available to businesses increased by N829.40 billion between the end of May and September 26. Emefiele made this known to newsmen after the Monetary Policy Committee meeting held in Abuja on Friday, September 20. Recall that CBN had issued a circular to deposit banks to commence the implementation of the cashless policy in six pilot states across the country.