BANKS RAISE ₦4.65 TRILLION AS CBN CONCLUDES RECAPITALISATION-33 BANKS SCALE THROUGH

The Central Bank of Nigeria (CBN) announces the successful conclusion of the banking sector recapitalisation programme initiated in March 2024.

This was contained in a statement jointly signed by the bank’s Director, Banking Supervision Olabukola Akinwu and Acting Director Corporate Communications Hakama Sidi Ali.

Nigerian banks in the last two years raised a total of ₦4.65 trillion in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy.  The programme recorded strong participation from both domestic and international investors, with 72.55% of capital sourced locally and 27.45% from international markets, reflecting sustained confidence in the Nigerian banking sector.

Governor Olayemi Cardoso in a reaction to the development said, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well positioned to support economic growth and withstand domestic and external shocks.”

On Capital Strengthening and Financial System Resilience the CBN confirmed that 33 banks have met the revised minimum capital requirements established under the programme. A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.

The statement added that all banks remain fully operational, ensuring continued access to banking services for customers.  The programme has strengthened capital adequacy ratios (CAR), with the sector maintaining levels above international Basel benchmarks. Minimum CAR thresholds remain at 10% for regional and national banks and 15% for banks with international authorisation.   The recapitalisation, implemented alongside an orderly exit from regulatory forbearance, has improved asset quality, reinforcing balance sheet transparency and overall financial system stability.

To safeguard these gains, the CBN has strengthened its riskbased capital adequacy framework, requiring banks to conduct regular stress testing across defined scenarios and maintain appropriate capital buffers.  Key regulatory measures, including prudential guidelines and the supervisory framework, are subject to periodic review to support ongoing strengthening of governance, risk management, and sector resilience.

The recapitalisation programme was carried out without disruption to banking services, ensuring continuous access for individuals and businesses throughout the process.  The successful completion of the programme establishes a stronger and more resilient  banking system, better positioned to support lending, mobilise savings, and withstand  domestic and global shocks.  The Central Bank of Nigeria remains committed to maintaining a stable, transparent, and  resilient financial system that inspires confidence among depositors, investors, and the  broader public, and to advancing the sustainability of the nation’s financial architecture.