Recapitalised Banks Source 72.5% of Capital Injections Locally -CBN
Nigeria’s 33 recapitalised deposit money banks (DMBs) sourced 72.5% of their combined capital injections locally over two years, the Apex Bank said in an official statement.
The Central Bank of Nigeria (CBN) has announced that it has officially concluded the banking sector recapitalisation programme, which began in March 2024.
Over the 24-month period, Nigerian banks raised a total of ₦4.65 trillion in new capital, strengthening the financial system’s resilience and enhancing its capacity to support the economy, the CBN said.
The Apex Bank revealed that 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 commented: “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.”
The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme.
The authority revealed that a limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
Despite failure to meet the deadline, CBN said 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”, the CBN said.
To safeguard these gains, the CBN said it has strengthened its risk-based capital adequacy framework, requiring banks to conduct regular stress testing across defined scenarios and maintain appropriate capital buffers.
The authority added that 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 authority highlighted that the recapitalisation programme was carried out without disruption to banking services, ensuring continuous access for individuals and businesses throughout the process.
CBN assures that the successful completion of the programme will establish a stronger, more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks.
