The Central Bank of Nigeria (CBN) has confirmed the successful completion of its banking sector recapitalisation programme, a major initiative launched in March 2024 to strengthen financial stability.
In a statement jointly signed by Dr. Olubukola Akinwunmi, Director of Banking Supervision, and Mrs. Hakama Sidi-Ali, Acting Director of Corporate Communications, the apex bank announced that Nigerian banks collectively raised N4.65 trillion in new capital over the 24-month exercise. The recapitalisation attracted strong investor confidence, with 72.55 percent of funds sourced domestically and 27.45 percent from international markets.
According to the CBN, 33 banks successfully met the revised minimum capital requirements. A few institutions remain under regulatory and judicial review, but all banks continue to operate normally, ensuring uninterrupted access to services for customers.
The programme has significantly improved Capital Adequacy Ratios (CAR), with Nigerian banks now maintaining levels above international Basel standards. Current thresholds stand at 10 percent for regional and national banks and 15 percent for those with international authorisation. The CBN noted that the recapitalisation, combined with the orderly withdrawal of regulatory forbearance, has enhanced asset quality, balance sheet transparency, and overall system resilience.
To preserve these gains, the apex bank has reinforced its risk-based capital adequacy framework. Banks are now required to conduct regular stress tests under defined scenarios and maintain sufficient capital buffers. Prudential guidelines and supervisory frameworks will also undergo periodic reviews to strengthen governance and risk management practices.
Importantly, the recapitalisation was carried out without disruption to banking services. Individuals and businesses retained full access to financial services throughout the process, a point the CBN highlighted as evidence of careful planning and execution.
The bank emphasized that the stronger capital base positions Nigerian banks to expand lending, mobilize savings, and withstand both domestic and global shocks. It reaffirmed its commitment to maintaining a stable and transparent financial system that inspires confidence among depositors, investors, and the wider public.
CBN Governor Olayemi Cardoso echoed these sentiments, stating that the recapitalisation has reinforced the resilience of the financial system. He stressed that Nigerian banks are now better equipped to support economic growth while managing risks from external and internal pressures.
The conclusion of the recapitalisation marks a significant milestone for Nigeria’s financial sector. By securing new capital and strengthening regulatory frameworks, the CBN has laid the groundwork for a more robust banking system capable of driving sustainable economic development.
