20 banks raise N4trn to meet CBN minimum capital requirements
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has revealed that 20 commercial banks have successfully raised about N4 trillion to meet the new minimum capital requirements set by the apex bank. Cardoso disclosed this while providing an update on the ongoing banking sector recapitalisation exercise, which is aimed at strengthening financial institutions and boosting economic stability.
According to the CBN governor, the capital raise reflects strong investor confidence in Nigeria’s banking industry despite prevailing economic challenges. He explained that the recapitalisation policy was introduced to ensure that banks are well positioned to absorb shocks, support large scale investments, and finance critical sectors of the economy. The move is also expected to improve liquidity and reinforce the resilience of the financial system.
Cardoso stated that the recapitalisation process remains on track and that banks are responding positively to the directive. He noted that the new capital thresholds were carefully designed to align with Nigeria’s long term economic growth plans. The policy requires banks to meet higher capital bases within a specified timeline, depending on their license category and operational scope.
Financial analysts say the N4 trillion already raised signals a strong start to the process and could encourage more participation from local and foreign investors. They add that stronger capital buffers will enhance banks’ lending capacity, reduce systemic risks, and promote confidence among depositors and international partners.
The CBN has maintained that the recapitalisation programme is not a sign of distress in the banking sector but a proactive measure to prepare institutions for future expansion and global competitiveness. As the deadline approaches, attention will remain on how other banks respond and whether additional mergers or acquisitions may emerge within the industry.
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