Juliet Ezeh
Nigerian banks are increasingly positioning themselves as gateways for global investors, reinforcing the country’s ambition to grow its economy to $1 trillion, following a major financial sector transformation.
Speaking at the inaugural Africa Capital Forum in London, Central Bank of Nigeria (CBN) Governor Olayemi Cardoso highlighted the strengthened capacity of Nigerian banks to mobilise capital, both locally and internationally. “The financial system we had is dead and buried. What we have now is a new system that has brought liquidity and transparency,” he said.
The forum, held alongside President Bola Tinubu’s official visit to the United Kingdom, convened global investors and banking leaders to explore strategies for driving long-term economic growth through robust capital mobilisation.
Local Capital Boosts Investor Confidence
According to Zenith Bank Executive Director Akin Ogunranti, over 72% of the recapitalisation funds were raised domestically, demonstrating rising confidence in Nigeria’s financial system. “This level of local participation signals the growing depth of our capital markets and a stronger domestic investor base,” he said.
Expanded Lending Capacity Fuels Growth
Bank leaders also revealed that the recapitalisation has expanded lending capacity, enabling banks to support larger transactions and attract international investments. First City Monument Bank Managing Director Yemisi Edun said, “The raised capital has created an expansion of credits, giving more credibility to what we can achieve as an industry.”
First Bank MD Segun Alebiosu added that currency reforms will allow Nigerian banks to process larger international deals, further enhancing their global footprint.
Nigerian Banks Strengthen Continental and Global Presence
United Bank for Africa (UBA) Group MD Oliver Alawuba noted that more than 65% of UBA’s revenue now comes from outside Nigeria, emphasizing the bank’s growing continental relevance. Meanwhile, Guaranty Trust Bank MD Miriam Olusanya highlighted improvements in international banking relationships, noting renewed investor confidence.
Government-Private Sector Collaboration Essential
Special Adviser to the President, Sanyade Okoli, stressed that government funding alone cannot sustain Nigeria’s growth, calling for partnerships to bring “sticky equity capital” into the economy.
A Stable Financial System for a $1tn Economy
CBN’s recapitalisation programme, launched in 2024, set higher minimum capital thresholds and allowed banks to meet them via capital injections, mergers, or licence restructuring. The initiative has created a more stable financial environment capable of supporting sustained economic growth, Cardoso said.
The Africa Capital Forum, convened by the CBN in partnership with the UK Foreign, Commonwealth and Development Office, showcased Nigeria’s banking sector as a key player in mobilising investment and driving continental economic expansion.
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