Onome Amuge
23 banks, including Sterling Bank, First Bank of Nigeria and Ecobank, have met new capital requirements imposed by the Central Bank of Nigeria (CBN), marking an early milestone in a wide-ranging recapitalisation drive aimed at reinforcing the resilience of the financial system.
The policy, introduced in 2024, requires commercial banks with international licences to raise a minimum of N500 billion in capital, while national and regional banks must meet thresholds of N200 billion and N50 billion respectively. Non-interest banks are subject to lower benchmarks, with N20 billion required for national licences and N10 billion for regional operations. Lenders have until March 31, 2026 to comply.
The reforms have triggered a wave of rights issues, public offers, private placements and balance-sheet restructuring across the sector, echoing the consolidation exercise of 2004 under then CBN governor Charles Soludo. That programme sharply reduced the number of banks and reshaped the industry by raising minimum capital from N2 billion to N25 billion.
As of January 14, 2026, 23 banks had reached the new thresholds. Access Bank was among the first movers, raising N351 billion through a rights issue that lifted its capital base to N602.8 billion, exceeding the regulatory minimum by more than N100 billion. The offer comprised 17.77 billion shares priced at N19.75 each.
Zenith Bank also surpassed the benchmark, raising more than N350 billion through a combination of rights issues and public offers to bring its capital to N614 billion. First HoldCo said First Bank had met the N500 billion requirement through a mix of a rights issue, a private placement and the sale of its merchant banking subsidiary.
Several national banks have also completed their capital raises. Sterling Bank achieved compliance following successive fundraising efforts by its parent, Sterling HoldCo, including a recent public offer that raised more than N88 billion, subject to final regulatory approvals. Wema Bank raised N150 billion via a rights issue, while Citibank Nigeria and Standard Chartered Nigeria relied on capital support from their foreign parent groups.
Non-interest lenders have also made progress. The Alternative Bank, Jaiz Bank, TAJBank and Lotus Bank have all met the new thresholds. The Alternative Bank secured a capital injection in mid-2025 that pushed its capital base comfortably above the requirement for national non-interest banks, strengthening its competitive position in the fast-growing Islamic finance segment.
With just over a year to the deadline, analysts expect further capital raising, mergers and strategic investments, particularly among smaller lenders still short of the required levels. CBN governor Olayemi Cardoso has said the recapitalisation programme remains on track and poses no immediate risk to depositors, adding that non-compliant banks could face licence downgrades or consolidation.
The exercise, regulators say, is intended to produce a stronger and more globally competitive banking sector capable of supporting Nigeria’s economic ambitions amid increasing financial and regulatory complexity.
