Senate Tasks AMCON to Compile Operational Records Ahead of 2030 Wind-Down

The Senate Committee on Banking, Insurance and Other Financial Institutions has directed the Asset Management Corporation of Nigeria (AMCON) to begin compiling comprehensive records of its operations as the corporation approaches its expected wind-down in 2030.

The committee gave the directive on Tuesday during the screening of Lamido Abubakar Yuguda, recently nominated by President Bola Ahmed Tinubu to serve as Chairman of AMCON's Board.

The screening was conducted by the committee chaired by Senator Tokunbo Abiru (APC, Lagos East).

Yuguda, who previously appeared before the committee on two occasions, was given what lawmakers described as a brief formal screening, with senators waiving extensive questioning because of their familiarity with his credentials and previous engagements with the committee.

The nominee was subsequently allowed to “bow and go”, a parliamentary expression commonly used when a nominee's screening is concluded without detailed questioning.

While the exercise was brief, the committee used the opportunity to raise concerns about the need for AMCON to adequately document its activities and prepare for the eventual conclusion of its mandate.

The corporation was established in 2010 as part of the Federal Government's response to challenges in Nigeria's banking sector, particularly the accumulation of non-performing loans and distressed financial assets.

AMCON's mandate included acquiring eligible non-performing loans and other distressed assets from financial institutions, managing those assets and recovering outstanding debts, while contributing to the stability of the financial system.

With the corporation's statutory lifespan expected to run until 2030, lawmakers said there was an urgent need to establish a clear picture of what AMCON has achieved, what remains outstanding and what obligations will need to be addressed before the agency's eventual wind-down.

Raising the issue during the screening, Senator Sani Musa (APC, Niger East) urged Yuguda and AMCON's Managing Director, Gbenga Alade, to prepare and submit a comprehensive status report on the corporation's operations.

Musa said the report should provide details of AMCON's achievements, challenges and outstanding responsibilities as the corporation moves closer to the end of its statutory lifespan.

“AMCON was established to resolve challenges within the financial system, particularly non-performing loans, distressed banks and related financial obligations.

“It has a statutory lifespan and is expected to wind up around 2030. Looking at that timeline, there is a need for this committee to receive an up-to-date report on the status of AMCON.

“We need to know where the corporation stands today, what it has achieved since inception and what outstanding responsibilities remain before its expected sunset,” Musa said.

The senator's demand effectively places greater emphasis on the need for an orderly transition as AMCON approaches the end of its mandate.

A comprehensive operational record would enable lawmakers to assess the corporation's performance over the years, particularly its efforts to recover funds tied to non-performing loans and distressed assets acquired from banks.

It would also provide the National Assembly with a clearer picture of the assets still under AMCON's management, outstanding recoveries, unresolved liabilities and other responsibilities that may remain when the corporation's statutory lifespan expires.

The committee chairman, Senator Abiru, supported Musa's concerns and indicated that the committee expected AMCON's leadership to provide the requested information.

Abiru explained that the screening of Yuguda was deliberately kept brief because the nominee had already appeared before the committee twice.

“We deliberately decided to keep today’s exercise brief because this is already the third time the nominee has appeared before us.

“We know him quite well, so today’s exercise has been more of a formal interaction,” Abiru said.

The committee's intervention comes at a critical point in AMCON's history, with the corporation facing the challenge of concluding its recovery mandate while ensuring that its remaining assets and obligations are properly accounted for.

Since its establishment, AMCON has played a significant role in Nigeria's financial sector by taking over troubled assets and loans in an effort to reduce pressure on banks and support financial system stability.

However, the recovery of acquired debts and assets has remained a major issue, with the corporation continuing to pursue individuals and companies linked to outstanding obligations.

The Senate committee's call for comprehensive operational records is therefore expected to provide lawmakers with a consolidated assessment of AMCON's progress and the scale of work still required before its expected 2030 wind-down.

The committee said it would continue to monitor the corporation's activities and ensure that AMCON fulfils its statutory mandate before the expiration of its operational lifespan.

The latest directive also signals the Senate's intention to ensure that the eventual conclusion of AMCON's mandate is properly planned, with sufficient documentation and accountability to guide the transition and prevent unresolved financial obligations from being left without clear institutional responsibility.

As Yuguda prepares to assume his role as chairman of AMCON's board, the Senate's demand places the corporation's remaining years under closer legislative scrutiny, with emphasis now shifting towards accountability, recovery and a transparent roadmap for its eventual wind-down.