At least five Nigerian banks have successfully met the Central Bank of Nigeria’s (CBN) new capital requirements, well ahead of the March 2026 deadline. The banks—Access Bank, Zenith Bank, Ecobank Nigeria, Lotus Bank, and Jaiz Bank—have secured their positions as early movers in the ongoing recapitalisation drive aimed at strengthening the country’s financial sector.
The CBN, in a circular issued in March 2024, mandated that commercial banks with international licenses must raise their capital base to ₦500 billion, national banks to ₦200 billion, and regional banks to ₦50 billion. Non-interest banks were also required to scale their capital to ₦20 billion (national) and ₦10 billion (regional).
Access and Zenith Lead Tier-1 Compliance
Access Bank was the first tier-1 bank to surpass the ₦500 billion capital threshold, achieving this through a ₦351 billion Rights Issue under its parent company, Access Holdings. This brought its total share capital to ₦600 billion—₦100 billion above the regulatory requirement.
Zenith Bank followed closely, raising ₦350.4 billion through a mix of rights issues and public offers. With the addition, its share capital rose to ₦614.65 billion, comfortably exceeding the CBN’s benchmark.
Ecobank, Lotus, and Jaiz Meet Benchmarks
Ecobank Nigeria, categorized as a national bank, has also met its ₦200 billion requirement. Although Fitch Ratings noted the bank’s capital adequacy ratio was still below the 10% mark, Ecobank has begun further capital-raising efforts. Its parent company, Ecobank Transnational Incorporated, recently secured an additional $125 million from a tap issue of its $400 million notes due 2029.
Lotus Bank, a national non-interest bank, confirmed its compliance even before the new rules were announced. Jaiz Bank also crossed the threshold in early 2025 with a ₦10.04 billion private placement approved by the CBN, SEC, and NGX.
Other Banks Accelerating Capital Raises
Several other financial institutions are now intensifying efforts to meet their targets. Guaranty Trust Holding Company (GTCO) recently returned to the international capital market to raise $100 million, aiming to list on the London Stock Exchange and further strengthen its Nigerian banking subsidiary.
GTCO had earlier raised ₦209 billion through a public offer in July 2024. Group CEO Segun Agbaje described the international listing and capital raise as “a pivotal moment” in GTCO’s journey, aimed at enhancing global visibility and unlocking transformative opportunities across its markets.
First Bank Holdings (First HoldCo) has announced plans to raise ₦350 billion, targeting Q2 2025 for completion. Once finalized, it will bring its paid-up capital to ₦748 billion.
Funding Gaps and M&A Watch
According to Afrinvest Research, banks such as Fidelity, FCMB, Sterling, Stanbic IBTC, and UBA still have a combined ₦733.70 billion funding gap. Wema Bank is actively pursuing a ₦150 billion capital raise through rights issues and special placements.
However, legacy banks like Union, Polaris, and Keystone (now under CBN control) have yet to announce clear recapitalisation strategies. Unity Bank is currently undergoing a merger with Providus Bank and has secured a ₦700 billion financial accommodation from the CBN—but still requires more capital to retain its national banking license.
Tier-3 Banks Face Consolidation Pressure
Tier-3 banks—including Globus, Titan Trust, Nova, Premium Trust, Optimus Bank, and Standard Chartered Nigeria—are being watched closely for potential mergers and acquisitions, as Fitch Ratings repeatedly forecasts consolidation within this segment.
Foreign-owned banks like Citibank and Standard Chartered, however, remain relatively insulated due to access to parent company funding.
Positive Outlook Amid Regulatory Tightening
Analysts from Afrinvest and CardinalStone maintain a bullish outlook for the sector, citing earnings growth, improved asset quality, and balance sheet optimisation. Recent CBN directives—such as exiting forbearance loans as a prerequisite for dividend payments—are seen as moves to deepen financial discipline and investor confidence.
CardinalStone noted:
“Though it may limit short-term dividend payouts, the policy ensures a more resilient financial system and prepares banks for long-term profitability and growth.”
