Commercial banks demanding from the Central Bank of Nigeria (CBN) to present a clearer directive on the treatment of retained earnings in the recapitalisation of banks, The Nation has learnt
The demand become more urgent as countdown to the two-year recapitalisation timeline begins.
The recapitalisation exercise is expected to commence from April 1, 2024 (today), through March 31, 2026.
Retained earnings are the amount of profit a company has left over after paying all its direct costs, indirect costs, income taxes and its dividends to shareholders.
This represents the portion of the company’s equity that can be used, for instance, to invest in new equipment, research and development, and marketing.
