GTCO Reduces Tenure Of Non-Executive Directors To Six Years

The move was in compliance with the recent tenure adjustment for bank executives and non-executives by the Central Bank of Nigeria, the bank said in the financials obtained.

But GTCO said no NED and INED will serve beyond six years as against the 12 years and eight years maximum years limit introduced by the CBN for NEDs and INEDs respectively.

GTCO said, “In order to ensure both continuity and injection of fresh ideas, the tenure for Non-Executive Directors is limited to a maximum of two terms of three years each, i.e. six years whilst the maximum tenure for Independent Non-Executive Directors is limited to a maximum of two terms of three years each, i.e. six years.

“This is in compliance with the directives of the CBN and FRC Codes.”

GTCO has six directors comprising the chairman, Group Chie Executive Officer, one non-executive director, two independent non-executive directors and an executive director.

They were appointed into the board of GTCO in 2021. The non-executive and independent non-executive directors can only serve in that capacity for six years if they are reelected after their current tenure.

The CBN in July 2023 released a circular on corporate governance which gives NEDs a maximum of 12 years to serve as NEDs in a bank.

The service years for INEDs was also limited to a maximum of eight years.

“NEDS (with the exception of INEDs) of a bank shall serve for a maximum of twelve (12) years comprising three terms of four years each.