Nigerian banks are set to leverage the Central Bank of Nigeria’s (CBN) recapitalisation policy to significantly boost economic growth and accelerate the country’s target of reaching a $1 trillion economy by 2030.
This was the central message delivered by bank executives and regulators at the Olumo ’25 National Retreat organised by the Association of Corporate Affairs Managers of Banks (ACAMB).
The CBN Deputy Governor for Financial System Stability, Mr Philip Ikeazor, stated that the recapitalisation was a deliberate strategy to build a stronger, more resilient, and inclusive financial system.
According to him, the core objective was not merely to increase the size of banks’ balance sheets, but to create “better banks” that are equipped to:
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Expand Credit to MSMEs: Banks must utilise their stronger capital base to significantly increase lending to Micro, Small, and Medium Enterprises (MSMEs), which are crucial drivers of job creation and economic activity.
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Enhance Financial Inclusion: The policy is expected to deepen financial inclusion, particularly for women-led enterprises and the unbanked population in rural areas.
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Boost Technology Investment: A stronger capital base is essential for banks to invest more heavily in digital innovation and Artificial Intelligence (AI) to improve services and reach.
Also Read: CBN Reaffirms Commitment to Deepen Financial Inclusion
Mr Ikeazor stressed that the true measure of the exercise’s success would be the tangible outcomes, moving beyond a simple regulatory directive.
Strengthening the Banking Sector
The President of the Association of Corporate Affairs Managers of Banks, Rasheed Bolarinwa, emphasised that the value of the exercise lies in strengthening brand resilience and expanding financial access, not just growing asset value.
The CBN directive sets new minimum capital requirements:
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₦500 billion for international banks
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₦200 billion for national banks
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₦50 billion for regional banks
According to the CBN, these stringent requirements are designed to enhance the capacity of Nigerian banks to withstand global economic shocks and maintain competitiveness in a volatile international environment.
The retreat gathered policymakers and industry experts to discuss how to maximise the policy’s benefits for the Nigerian economy.
The Central Bank of Nigeria has set a deadline of 31 March 2026 for all commercial banks to comply with the new minimum capital requirements.
The banking sector has aggressively mobilised capital, with banks raising an estimated ₦1.7 trillion in fresh capital in 2024. Projections show an additional ₦800 billion to ₦900 billion is expected to be injected throughout the rest of 2025.
So far, about eight banks have officially crossed their respective paid-in capital thresholds, with their figures currently under final regulatory verification.