The Central Bank of Nigeria (CBN) has moved to calm growing concerns among depositors, assuring the public that Union Bank, Keystone Bank, and Polaris Bank remain financially capable of meeting the new re-capitalisation requirements. According to the apex bank, the institutions are already taking steps to raise the funds needed to meet the regulatory threshold.
The reassurance came a day after the CBN revealed that 33 Nigerian banks had successfully met the new minimum capital requirements under its ongoing re-capitalisation programme, collectively raising about ₦4.65 trillion over the past 24 months. Only a few lenders — including Union Bank, Keystone Bank, and Polaris Bank — are still completing the process, largely due to ongoing regulatory or judicial procedures.
Speaking on Global Business Report on Arise News, the CBN’s Director of Banking Sector Supervision, Olubukola Akinwunmi, assured customers that the affected banks remain fully operational and safe for transactions.
He stressed that Nigerians have no reason to panic or withdraw their funds, noting that the institutions are still functioning normally while the Central Bank continues to closely monitor their progress. Once the pending legal or regulatory processes are resolved, the banks are expected to complete their recapitalisation without difficulty.
Akinwunmi also pointed to the strength of Nigeria’s banking system, highlighting that the country’s capital adequacy requirements exceed global standards under the Bank for International Settlements Basel framework. While international benchmarks require about 8 percent capital adequacy, Nigerian banks must maintain higher ratios — 10 percent for national and regional banks and 15 percent for internationally licensed institutions.
He explained that the CBN also uses stress-testing models to simulate economic shocks that could affect borrowers’ ability to repay loans. These exercises help banks prepare for potential losses and ensure they maintain sufficient capital buffers to remain stable during economic turbulence.
The regulator believes these safeguards will reassure depositors, businesses, and foreign investors that Nigeria’s banking sector remains resilient despite global uncertainties. Akinwunmi noted that Nigerian banks have weathered several shocks in recent years, including disruptions in global supply chains and geopolitical tensions such as the US-Iran conflict.
Meanwhile, the CBN is also pushing reforms in Nigeria’s fast-growing digital payments sector. The apex bank has inaugurated a high-level Payment Service Providers’ Committee aimed at improving coordination between regulators and industry operators while tackling long-standing operational bottlenecks.
The committee, launched by CBN Governor, Olayemi Cardoso, brings together regulators such as the Nigerian Communications Commission, Nigeria Deposit Insurance Corporation, and Securities and Exchange Commission alongside licensed payment providers. The group will meet quarterly to address industry challenges and guide policy direction in the digital payments space.
Deputy Governor for Economic Policy, Muhammad Sani Abdullahi, revealed that Nigeria processed over 11.2 billion electronic transactions in 2024 alone, valued at more than ₦1.07 quadrillion — the first time the country’s digital payments crossed the quadrillion-naira mark.
He added that the CBN plans to unveil a new payment systems vision within the next month, outlining how the ecosystem will evolve over the next three years. The strategy, developed in collaboration with fintech firms and mobile money operators, aims to deepen financial inclusion while strengthening safeguards against fraud, money laundering, and terrorism financing.
Officials say the reforms are expected to accelerate growth in Nigeria’s digital finance sector while ensuring stronger protections for consumers and businesses across the financial system.
