Nigeria’s banking sector is deep into one of the most historic sweeping recapitalisation drives in its history, as lenders race to meet the Central Bank of Nigeria’s (CBN) March 31, 2026 deadline. And the latest numbers show just how dramatic the capital build-up has become.
According to a fresh analysis by Nairametrics, 11 publicly listed banks show that total paid-up share capital and share premium surged to N3.74 trillion as of Q3 2025 up from N2.92 trillion in FY 2024 and N1.71 trillion in FY 2023. That’s a staggering 118% increase in under two years, underscoring the speed and scale of the sector’s transformation.
Launched in April 2024, the CBN’s recapitalisation programme is already reshaping competition, balance sheet strength, and industry hierarchy.
Capital Strength Despite FX Pressures
Despite persistent currency depreciation, the sector’s capital base in dollar terms rose from roughly $1.9 billion in 2023 to about $2.5 billion by Q3 2025, based on average official exchange rates.
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This rare uptick in dollar-value capital which was achieved amid macroeconomic headwinds signals improved resilience and is likely to bolster confidence from foreign investors and ratings agencies.
The New Rulebook: What Counts as Capital
Under the March 2024 directive, banks now face sharply higher minimum capital requirements:
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N500bn – International commercial banks
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N200bn – National commercial banks
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N50bn – Regional commercial banks
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N20bn / N10bn – National and regional non-interest banks
Crucially, the CBN now recognises only paid-up share capital and share premium; a narrower definition that excludes retained earnings and reserves, forcing institutions to raise fresh equity rather than rely on accounting buffers.
The 24-month compliance window runs from April 2024 to March 2026, with the CBN stating that 16 banks are already compliant or on track.
The Capital Leaders: Zenith, Access, GTCO in Command
Zenith Bank and Access Corporation remain the industry’s capital heavyweights, each crossing N590 billion; well above the international licence threshold. GTCO follows at over N500 billion, securing its international status.
A strong second tier such as FirstBank, Ecobank, UBA, and Fidelity still cluster between N300 billion and N400 billion.
Capital League Table (Q3 2025):
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Zenith Bank – N614.6bn
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Access Corporation – N594.9bn
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GTCO – N507.6bn
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First Bank Holdings – N398.0bn
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Ecobank Nigeria – N353.5bn
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UBA – N350.1bn
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Fidelity Bank – N305.6bn
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Stanbic IBTC – N255.0bn
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Wema Bank – ~N210–N215bn
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Sterling Bank – N157.0bn
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Jaiz Bank – N28.7bn
The Fastest Climbers
Several institutions have delivered extraordinary capital growth since FY 2023, driven by rights issues, private placements, equity conversions, and strategic investor inflows:
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GTCO: +267% (from ~N138bn to N507.6bn)
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UBA: +202% (from ~N116bn to N350.1bn)
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Wema Bank: from ~N15bn to over N210bn
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FirstBank Holdings: +58% (to N398bn)
Zenith and Access, already well capitalised earlier, have posted minimal changes; reflecting early compliance rather than inactivity.
Strategic Positioning: Who’s Almost There?
With less than four months to go, several banks are navigating final capital decisions:
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Fidelity Bank (N305.6bn): Positioned for a national licence; international status depends on next steps.
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FirstBank Holdings (N398bn): Needs a last-mile boost to retain international classification.
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Ecobank Nigeria (N353.5bn): May rely on group-level backing.
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Sterling Bank (N157bn): Currently aligns with regional or national operations.
Analysts expect fresh rights issues, Tier-1 injections, debt-to-equity swaps, and even potential M&A among mid-tier players.
The Monetary Backdrop: Softer Rates Ahead?
The recapitalisation drive coincides with a possible shift in monetary policy. With inflation showing signs of cooling, analysts anticipate rate cuts in 2026 after two years of tight policy that boosted banks’ net interest margins (NIMs).
Lower rates could squeeze earnings, but well-capitalised banks with low-cost deposits (Zenith, Access, GTCO, UBA, Stanbic) are positioned to cushion the impact through:
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stronger loan growth
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rising non-interest income
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expanded market share
Stronger capital also enhances protection against FX volatility, credit losses, and mark-to-market hits—pressures that eroded profitability in recent years.
What It Means for Investors
The recapitalisation contest is no longer just about meeting regulatory minimums. It’s now a strategic race that could redefine Nigeria’s banking landscape.
Capital-strong banks will hold the upper hand in:
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potential acquisitions
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digital expansion
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SME and retail lending
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cross-border growth
As weaker institutions scramble to close funding gaps, consolidation could accelerate.
For investors, 2026 may pivot the conversation from profitability to capacity, which banks are structurally equipped to lead the next credit cycle?
With more than N3.7 trillion already mobilised, this isn’t merely a regulatory exercise. It’s a complete reset of balance sheet power across Nigeria’s financial system.









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