The Central Bank of Nigeria says Nigeria’s banking sector recapitalisation programme is making steady progress, with 30 banks already meeting the new minimum capital requirements ahead of the March 31, 2026 deadline.
In a statement issued Friday and signed by Acting Director of Corporate Communications Hakama Ali, the central bank said the exercise is on track and remains a key step in strengthening the resilience of the country’s financial system.
The recapitalisation programme was introduced in March 2024 as part of regulatory reforms aimed at reinforcing the banking sector’s ability to support Nigeria’s long-term economic development. Under the policy, banks were given a 24-month compliance window, running from April 1, 2024 to March 31, 2026, to raise their capital base to newly established minimum levels based on their licence categories.
According to the central bank, the banking industry has responded actively to the policy, with institutions mobilising fresh capital through various financial instruments.
“As of 6 March, the recapitalisation exercise is progressing steadily. Thirty banks have met the new minimum capital requirements applicable to their respective licence authorisations,” the statement said.
The regulator added that all 33 licensed banks in Nigeria have raised additional capital through a combination of rights issues, initial public offerings (IPOs), and private placements as part of the recapitalisation programme.
However, three banks are still undergoing the central bank’s routine verification process before their compliance status can be formally confirmed.
“The capital positions of the remaining banks are currently undergoing the Central Bank’s routine verification process ahead of final confirmation of compliance within the recapitalisation timeline,” the statement added.
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The recapitalisation programme represents one of the most significant regulatory interventions in Nigeria’s banking sector in recent years. Authorities say the initiative is designed to strengthen banks’ financial buffers, improve their capacity to absorb economic shocks and enhance their ability to finance large-scale investments across the economy.
The central bank noted that a stronger banking sector would play a critical role in supporting households, businesses and infrastructure development, particularly at a time when Nigeria is seeking to accelerate economic growth and expand private sector investment.
At the most recent Monetary Policy Committee meeting in February, the central bank disclosed that 20 out of the country’s 33 banks had already met the revised capital thresholds, collectively raising about 4.05 trillion naira in fresh capital at that stage of the programme.
The latest update indicates that the number of compliant institutions has since increased significantly as more banks complete their capital-raising efforts.
The regulator also sought to reassure investors and depositors about the stability of the financial system, stressing that Nigeria’s banking sector remains sound despite ongoing adjustments linked to the recapitalisation process.
“The Nigerian banking system remains stable and sound. The recapitalisation programme remains firmly on track and will further strengthen the capacity of the banking sector to support households, businesses and sustainable economic growth,” the central bank said.
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Industry analysts say the recapitalisation drive could also lead to increased consolidation within the banking sector, as smaller institutions may explore mergers or strategic partnerships to meet regulatory requirements.
Such developments have historically reshaped Nigeria’s financial landscape. A major consolidation exercise carried out in the mid-2000s significantly reduced the number of banks while creating stronger and better-capitalised institutions.
For now, the central bank says it will maintain close supervisory engagement with financial institutions to ensure full compliance before the end of the compliance window.
“The Central Bank of Nigeria will continue to maintain close supervisory engagement with regulated institutions to ensure full compliance with prudential and capital requirements,” the statement said.
With just weeks remaining before the deadline, the regulator’s latest update suggests that Nigeria’s banking sector is largely on course to complete the recapitalisation process within the stipulated timeframe.
