The Central Bank of Nigeria (CBN) agrees there is no universally accepted definition of an independent director. It however tries to foster one that would suit the Nigerian situation-"he or she should not be financially or otherwise dependent on the bank or its management," the apex bank had stated.
That is fine, but all the same, such an independent director will rely on the bank or management for payment – be it sitting allowance or stipend.
There are other ‘do nots’ reeled out by the apex bank. They include; an independent director that is not financially or otherwise dependent on a shareholder owning more than five percent of the voting shares of the bank, not financially or otherwise dependent on the bank’s auditors, appraisers or consultants.
Others include the fact that "he or she does not pursue personal political interest in his/her activities," and that such a person "should not be a representative of a government even if the government is a minority shareholder."
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