The Central Bank of Nigeria (CBN) announced yesterday the successful conclusion of its banking sector recapitalisation programme, with 33 deposit money banks raising a total of ₦4.65 trillion in fresh capital to bolster balance sheets and enhance the resilience of the financial system.
The announcement was made in a statement signed by Dr. Olubukola Akinwunmi, Director of Banking Supervision, and Mrs. Hakama Sidi Ali, Acting Director of Corporate Communications.
According to the statement: “Over the 24-month programme, Nigerian banks raised ₦4.65 trillion in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy. Participation was strong 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.”
CBN Governor Olayemi Cardoso commented: “The recapitalisation programme has reinforced the capital base of Nigerian banks, ensuring the financial system is well-positioned to support economic growth and withstand both domestic and external shocks.”
Strengthened capital and financial system resilience
The CBN confirmed that all 33 banks have met the revised minimum capital requirements under the programme. A limited number of institutions remain under regulatory or judicial review, which are being addressed through established frameworks, but all banks continue to operate fully, ensuring uninterrupted banking services for customers.
The programme has strengthened capital adequacy ratios (CAR), with the sector maintaining levels above international Basel benchmarks. Minimum CAR thresholds are now set at 10% for regional and national banks and 15% for internationally authorized banks.
Implemented alongside an orderly exit from regulatory forbearance, the recapitalisation has also improved asset quality, reinforced balance sheet transparency, and enhanced overall financial system stability.
Enhanced prudential oversight
To safeguard these gains, the CBN has strengthened its risk-based capital adequacy framework, requiring banks to conduct regular stress tests and maintain appropriate capital buffers. Key regulatory measures, including prudential guidelines and supervisory frameworks, are periodically reviewed to further strengthen governance, risk management, and sector resilience.
