By; ALEX UANGBAOJE, Kaduna
The Registrar and Chief Executive of Chartered Institute of Treasury Management (CITM), Mr. Olumide Adedoyin, has identified proper treasury management as a major problem bedeviling Nigeria’s economy.
Mr. Adedoyin, who spoke at a “Breakfast Roundtable meeting with Journalists” in his office in Kaduna, noted that assets are dying today because there are no proper management of cash and liquidity.
He said it has become imperative to put a measure in place in Nigeria to minimise risks by providing ethical training for those managing the resources, adding that if cash management impact on the nation’s economy, every other things would fall in place.
“Proper management of treasury is an integral part of any organization and when a measure is put in place to check the system it would stop fraud from happening rather than wait for it to happen before checking it.” He added.
The Registrar, explained that when any organization allows operation of treasury management to impact on their economy, the resultant effects would be that “firms will Operate with smaller amount of cash.
“Supervision and management of cash flows and its balances will be better managed and impacted. There would be better service from banks, proper allocation of funds will be achieved, fraud and embezzlement would be minimized
“Risk of loss in management of investment in liquid assets will be eliminated, firms would operate at minimum cost of funds possible within the economy of their domicile constituted authorities and institutions in Nigeria.
“It would promote the study and practice of properly managing the treasury as a safeguard against fraud, outright embezzlement, emasculation, misappropriation/misapplication of scarce resources placed in the care/custody of fund managers.
“Would encourage professionalism in the field of treasury management and to conduct researches into the best method and means of developing and applying the research result thereof
“Would provide opportunities for treasury managers, financial controllers, fund managers, etc to improve and enhance their technical/career skills development as professionals, instill a high standard of professional ability, efficiency and effectiveness through training and retraining activities.
“Maintain professional discipline within the rank and file of practitioners and to regulate and control the practice of the profession in all ramification and also disseminate professional information on treasury management and other matters connected therewith.”
He therefore defined Treasury Management as a prudent and strategic approach, integrated management of an entity’s resources having the aim of achieving optimal utilization of entrusted resources pursuit of the realization of the most beneficial returns, ensuring continuous liquidity for the settlement of every ensuing and/or spontaneous obligations.
Catching on investment opportunities, minimizing the associated risks of managing and investing in cash and near cash assets (preventive mechanism) i.e., stopping hemorrhage and guarantees continuous flow of economic benefits.
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Mr. Olumide Adedoyi, Registrar and Chief Executive of Chartered Institute of Treasury Management (CITM)
Improper Treasury Management Impacting Economy Negatively – CITM Registrar
By ALEX UANGBAOJE, Kaduna
The Registrar and Chief Executive of Chartered Institute of Treasury Management (CITM), Mr. Olumide Adedoyin, has identified improper treasury management as a major problem bedeviling Nigeria’s economy.
Mr. Adedoyin, who spoke at a “Breakfast Roundtable meeting with Journalists” in his office in Kaduna, noted that assets are dying today because there are no proper management of cash and liquidity.
He said it has become imperative to put a measure in place in Nigeria to minimise risks by providing ethical training for those managing the resources, adding that if cash management impact on the nation’s economy, every other things would fall in place.
“Proper management of treasury is an integral part of any organization and when a measure is put in place to check the system it would stop fraud from happening rather than wait for it to happen before checking it.” He added.
The Registrar, explained that when any organization allows operation of treasury management to impact on their economy, the resultant effects would be that “firms will Operate with smaller amount of cash.
“Supervision and management of cash flows and its balances will be better managed and impacted. There would be better service from banks, proper allocation of funds will be achieved, fraud and embezzlement would be minimized
“Risk of loss in management of investment in liquid assets will be eliminated, firms would operate at minimum cost of funds possible within the economy of their domicile constituted authorities and institutions in Nigeria.
“It would promote the study and practice of properly managing the treasury as a safeguard against fraud, outright embezzlement, emasculation, misappropriation/misapplication of scarce resources placed in the care/custody of fund managers.
“Would encourage professionalism in the field of treasury management and to conduct researches into the best method and means of developing and applying the research result thereof
“Would provide opportunities for treasury managers, financial controllers, fund managers, etc to improve and enhance their technical/career skills development as professionals, instill a high standard of professional ability, efficiency and effectiveness through training and retraining activities.
“Maintain professional discipline within the rank and file of practitioners and to regulate and control the practice of the profession in all ramification and also disseminate professional information on treasury management and other matters connected therewith.”
He therefore defined Treasury Management as a prudent and strategic approach, integrated management of an entity’s resources having the aim of achieving optimal utilization of entrusted resources pursuit of the realization of the most beneficial returns, ensuring continuous liquidity for the settlement of every ensuing and/or spontaneous obligations.
Catching on investment opportunities, minimizing the associated risks of managing and investing in cash and near cash assets (preventive mechanism) i.e., stopping hemorrhage and guarantees continuous flow of economic benefits.
