Juliet Ezeh
The Central Bank of Nigeria (CBN) has announced the successful conclusion of its banking sector recapitalisation programme, with Nigerian banks raising a total of ₦4.65 trillion over 24 months. The initiative, launched in March 2024, has significantly strengthened the resilience of the financial system and enhanced its capacity to support economic growth.
CBN Governor Olayemi Cardoso said the recapitalisation reinforced the capital base of Nigerian banks, ensuring the sector is well-positioned to withstand domestic and external shocks. “The programme has strengthened the financial system and positioned banks to support the economy,” Cardoso added.
Strong Local and International Participation
The programme attracted robust participation from investors, with 72.55% of the capital raised locally and 27.45% from international markets, signaling sustained confidence in Nigeria’s banking sector. All 33 banks have met revised minimum capital requirements, while a limited number of institutions remain under regulatory and judicial review.
Improved Capital Adequacy and Asset Quality
Following the recapitalisation, Nigerian banks now maintain capital adequacy ratios above international Basel benchmarks. Minimum CAR thresholds are set at 10% for regional and national banks and 15% for banks with international authorisation. The process also improved asset quality and balance sheet transparency, reinforcing overall financial stability.
Enhanced Oversight and Continuous Operations
To safeguard gains, the CBN has strengthened risk-based supervision, requiring banks to conduct regular stress testing and maintain appropriate capital buffers. The programme was completed without disruption to banking services, ensuring continuous access for customers.
The CBN affirmed its commitment to a stable, transparent, and resilient financial system that inspires confidence among depositors, investors, and the broader public while advancing the sustainability of Nigeria’s financial architecture.
