Access Bank, Zenith, UBA, Others Shut 476 Branches as Digital Banking Reshapes Nigeria
- Nigerian banks closed 476 branches and cash centres as digital banking adoption accelerated
- Lagos recorded the largest absolute decline, while Ekiti suffered one of the steepest percentage contractions nationwide
- Branch closures expose widening disparities in physical banking access, particularly across underserved northern and less-connected states
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Nigeria’s banking industry is rapidly reducing its physical footprint as Deposit Money Banks closed a net 476 branches and cash centres between 2022 and 2025.
Data from the Central Bank of Nigeria’s 2025 Statistical Bulletin for the Financial Sector showed that banking locations nationwide fell from 5,410 in 2022 to 4,934 in 2025, an 8.8 per cent contraction over three years.
Source: Getty Images
The reduction came despite an increase in the number of banks operating during much of the period, highlighting the industry’s growing shift from traditional branches to digital and alternative banking channels.
According to an analysis by The PUNCH, the number of branches and cash centres fell modestly by 37 to 5,373 in 2023 before the pace of closures accelerated.
Another 229 locations disappeared in 2024, reducing the total to 5,144, while banks closed a net 210 locations in 2025.
This means about 92 per cent of the 476-location reduction occurred in 2024 and 2025 alone.
The CBN data cover commercial, merchant and non-interest banks, with figures sourced from the apex bank and the Nigeria Deposit Insurance Corporation.
Lagos suffers biggest decline
Lagos recorded the largest reduction in absolute terms, losing 158 branches and cash centres within three years.
The number of banking locations in Nigeria’s commercial capital dropped from 1,602 in 2022 to 1,444 in 2025, a 9.9 per cent decline.
Despite the closures, Lagos remained Nigeria’s banking hub, accounting for more than 29 per cent of all physical banking locations nationwide in 2025.
Abuja also contracted, with locations falling from 400 in 2022 to 362 in 2025, a net loss of 38.
Ekiti recorded one of the steepest percentage declines. Its network plunged from 107 locations to 57, a 46.7 per cent contraction.
Enugu lost 44 locations, falling from 162 to 118, while Oyo dropped from 237 to 196.
Ondo, Plateau, Osun, Cross River and Rivers also recorded sizeable reductions.
Some states buck the closure trend
Not every state witnessed a decline.
Delta added 23 locations, rising from 173 in 2022 to 196 in 2025, while Edo increased from 155 to 165. Jigawa climbed from 31 to 37, while Kogi rose from 63 to 68.
The figures, however, expose a wide disparity in access to physical banking infrastructure.
While Lagos had 1,444 branches and cash centres in 2025, Yobe had just 23, Taraba 26 and Zamfara 28. Bayelsa and Gombe recorded 31 each, while Ebonyi had 32.
Why Nigerian banks are reducing branches
The accelerating contraction comes as Nigerian banks increasingly direct customers towards mobile apps, internet banking, ATMs, point-of-sale terminals and other electronic payment channels.
The CBN has also intensified calls for greater adoption of alternative payment channels as part of efforts to deepen financial inclusion and expand access to financial services.
Source: Getty Images
At the 2026 CBN Fair in Lokoja, Acting Director of Corporate Communications and Investor Relations, Hakama Sidi-Ali, said alternative payment channels were particularly important for farmers, traders, small businesses and informal-sector operators with limited access to conventional banking services.
The latest branch figures suggest Nigeria’s banking transformation is gathering pace, but the sharp geographical disparities also raise questions about access for customers who still depend heavily on face-to-face banking.
6 Nigerian banks rank among Africa's 20 largest
Legit.ng earlier reported that six Nigerian banks have made Africa's list of the 20 largest lenders by total assets, reflecting the expanding scale of the country's financial sector after a sweeping recapitalisation programme.
The ranking, compiled using data from S&P Global Market Intelligence, company reports, African Business, The Banker, and African Research, placed Access Bank as the continent's largest Nigerian lender, with roughly $36 billion in assets and an overall 12th-place position.
Source: Legit.ng
