The Central Bank of Nigeria (CBN) has unveiled new, temporary measures to support a select group of banks as they finalise their transition from pandemic-era regulatory assistance. This move is a strategic step in the CBN’s ongoing recapitalisation programme, initiated in 2023, aimed at fortifying the nation’s banking system and aligning it with Nigeria’s ambitious long-term growth objectives.
According to a statement by Hakama Sidi Ali, Ag. Director, Corporate Communications, the programme has already spurred substantial capital inflows and strengthened balance sheets across the sector, with most banks either meeting or on track to meet new capital requirements well ahead of the March 31, 2026, deadline.
The measures announced apply only to a limited number of banks. These include temporary restrictions on capital distributions, such as dividends and bonuses, to
support retention of internally generated funds and bolster capital adequacy. All affected banks have been formally notified and remain under close supervisory engagement.
To support a smooth transition, the CBN has allowed limited, time-bound flexibility within the capital framework, consistent with international regulatory norms. Nigeria generally maintains Risk-Based Capital requirements that are significantly more stringent than the global Basel III minimums.
These adjustments reflect a well-established supervisory process consistent with global norms. Regulators in the US, Europe, and other major markets have implemented similar transitional measures as part of post-crisis reform efforts.
The CBN remains fully committed to continuous engagement with stakeholders throughout this period via the Bankers’ Committee, the Body of Bank CEOs, and other
industry forums. The goal is to ensure a transparent, predictable, and collaborative regulatory environment.
Nigeria’s banking sector remains fundamentally strong. These measures are neither unusual nor cause for concern; they are a continuation of the orderly and deliberate implementation of reforms already underway. The CBN will continue to take all
necessary actions to safeguard the sector’s stability and ensure a robust, resilient financial ecosystem that supports sustainable economic growth.