The Central Bank of Nigeria (CBN) says the ongoing N500 billion recapitalisation initiative for banks is gaining significant traction, with several institutions already meeting the new capital requirements.
Speaking during a press briefing following the 300th Monetary Policy Committee (MPC) meeting held on Tuesday, CBN Governor Olayemi Cardoso reaffirmed the robustness of the banking sector, citing improved performance indicators and growing compliance with the recapitalization directive.
“The committee reaffirmed the continued stability of the banking system following notable improvements in key performance indicators and observed the appreciable progress in the ongoing recapitalization exercise,” Cardoso said.
In March 2024, the apex bank announced new minimum capital thresholds for different categories of banks: N500 billion for commercial banks with international licenses, N200 billion for national banks, and N50 billion for regional banks. The recapitalization window spans 24 months, from April 1, 2024, to March 31, 2026.
The MPC, in its post-meeting communiqué, urged the CBN to maintain vigilant oversight of the banking sector to ensure full regulatory compliance.
“Members thus called on the bank to sustain its effective oversight of the industry to ensure compliance with regulatory and macroprudential guidelines,” the committee stated.
Some of Nigeria’s top-tier banks are already aligning with the CBN’s mandate. Access Bank raised N351 billion in December 2024, while Zenith Bank secured N350.46 billion through a rights issue and public offering in January 2025. As a result, Zenith Bank’s capital base rose to N614.65 billion, representing 160% capitalization.
Under the new framework, the CBN has clarified that only paid-up capital and share premium will count toward meeting the minimum capital base. Shareholders’ funds will no longer be considered.
In addition to commercial banks, merchant banks are now required to maintain a minimum capital of N50 billion. Non-interest banks must hold N20 billion for national authorization and N10 billion for regional authorization.
With more banks gearing up to meet the revised thresholds, the CBN’s recapitalization drive is poised to strengthen the resilience, competitiveness, and overall health of Nigeria’s financial system.