CBN Recapitalisation Countdown: Full List of 12 Nigerian Banks Yet to Meet New Capital Threshold
- Pressure mounts on Nigerian banks ahead of CBN's March 31 recapitalisation deadline
- At least 12 banks struggle to meet new capital requirements, threatening survival and compliance
- Mergers and acquisitions likely as smaller banks explore options to raise capital amid intense scrutiny
With barely eleven weeks to the Central Bank of Nigeria’s recapitalisation deadline, pressure is mounting on a group of Nigerian banks yet to meet the new minimum capital requirements.
The March 31 deadline, set under the apex bank’s ongoing banking sector reforms, is fast approaching, raising concerns over possible mergers, acquisitions, or licence downgrades.
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The recapitalisation exercise is part of the CBN’s broader effort to strengthen the banking system, improve resilience, and ensure banks are adequately capitalised to support Nigeria’s growing economy.
The majority of banks are already compliant
A prior report revealed that 19 Nigerian banks had met the CBN’s recapitalisation benchmark as of January 6, 2025.
These early movers include several of the country’s largest lenders, such as Access Bank, Fidelity Bank, First Bank of Nigeria, Guaranty Trust Bank (GTCO), United Bank for Africa (UBA), and Zenith Bank.
Other compliant lenders, including mid-tier and specialised banks, have also successfully raised fresh capital through rights issues, private placements, or retained earnings.
Their swift compliance has helped stabilise investor confidence and reduce uncertainty around regulatory sanctions.
Full List: Banks yet to meet CBN capital requirement
Despite this progress, at least 12 Nigerian banks are still struggling to meet the minimum capital threshold as the deadline nears.
These banks cut across commercial, merchant, and non-interest banking segments.
The banks yet to comply include:
- First City Monument Bank (FCMB) Unity Bank
- Keystone Bank
- Union Bank (Titan Trust-led entity)
- Standard Chartered Bank Nigeria
- Parallex Bank SunTrust Bank
- FBH Merchant Bank
- Coronation Merchant Bank
- Alternative Bank
- Other non-interest banks
Industry analysts note that the challenge is more pronounced among smaller lenders and specialised banks with limited access to large pools of capital.
Mergers and acquisitions are likely
Financial experts say mergers and acquisitions are increasingly likely as the deadline approaches.
Banks unable to independently raise fresh capital may be forced to explore strategic partnerships, investor buy-ins, or outright mergers to survive.
Some lenders are also reportedly considering downgrading their banking licences to reduce capital requirements, while others may seek regulatory forbearance or deadline extensions, although the CBN has signalled a firm stance on compliance.
Implications for the banking sector
If executed successfully, analysts believe the recapitalisation exercise could leave Nigeria with a stronger, more consolidated banking sector, better positioned to finance large infrastructure projects and compete regionally.
However, failure by some banks to meet the deadline could lead to forced consolidations, licence withdrawals, or tighter regulatory actions, potentially reshaping the industry’s competitive landscape.
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As the clock ticks down to March 31, all eyes remain on the remaining banks and the strategic moves they will make to stay afloat in Nigeria’s evolving banking environment.
Nigerian banks licensed to operate abroad
Legit.ng earlier reported that Nigeria’s banking industry is undergoing its most ambitious overhaul in more than a decade as the Central Bank of Nigeria (CBN) enforces a sweeping recapitalisation programme aimed at strengthening financial stability and positioning the sector for long-term growth.
Under the policy, commercial banks with international banking licences must raise their minimum paid-up capital to N500 billion by March 31, 2026.
The new thresholds, announced in March 2024, mark a sharp departure from the existing capital structure.
Source: Legit.ng
