The Central Bank of Nigeria (CBN) has pledged to maintain close regulatory oversight of banks as the industry enters the post-recapitalisation era. At the 38th Finance Correspondents Association of Nigeria (FICAN) seminar in Abuja, the CBN emphasized that stronger capital alone is not enough to guarantee a resilient financial system without sound corporate governance and effective risk management. Deputy Governor, Corporate Services, Dr. Muhammad Sani Abdullahi, outlined the CBN's supervisory approach, which will continue to emphasize risk-based supervision, macroprudential surveillance, and enhanced stress testing.
According to Abdullahi, banks are expected to maintain strong internal controls, identify risks early, and ensure lending is driven by viable projects rather than capital size alone. The CBN will also insist on stronger customer data protection, reliable payment services, and the ability of financial institutions to recover quickly from operational disruptions. This move aims to ensure that banks operate in a manner that supports Nigeria's economic goals, including building a one-trillion-dollar economy by 2030.
The recapitalisation exercise, announced in March 2024, was designed to equip banks with stronger capital buffers. Abdullahi disclosed that 33 banks met the revised minimum capital requirements at the end of the two-year recapitalisation programme, raising a combined N4.65 trillion. Well-capitalised banks will be better positioned to finance long-term infrastructure, support industrial expansion, facilitate international trade, and compete more effectively in regional and global markets.
Beyond banking capital, Abdullahi highlighted improvements in key macroeconomic indicators. Reforms in the foreign exchange market have narrowed the gap between official and parallel market rates from an average of 68.2 percent in the January-May 2023 period to below two percent. Autonomous sources contributed US$7.33 billion, representing nearly 68 percent of the US$10.82 billion total foreign exchange inflows recorded in July 2026.
The CBN also reported that Nigeria's gross external reserves rose to US$55.60 billion as of September 11, 2026, with end-August reserves providing 11.3 months of import cover. On inflation, Abdullahi noted that headline inflation, which climbed to 34.8 percent in December 2024, had moderated to 15.43 percent in July 2026. The economy expanded by 4.43 percent in the second quarter of 2026, driven largely by activities outside the oil sector.
Despite the improvements, Abdullahi acknowledged that households and businesses continue to face economic pressures. He stressed that recapitalisation should ultimately be measured by the quality of banking services and productive lending delivered to the economy. The benefits of the reforms should extend beyond large corporations to rural communities, women, young entrepreneurs, and other underserved segments.
The CBN's new leadership in corporate communications, led by Mr. Michael Chukwuemeka Akuka, emphasized the importance of accurate and contextual reporting of the bank's policies. Akuka encouraged journalists to ask probing questions during the sessions to ensure Nigerians receive clear explanations of ongoing reforms. The seminar was declared open by Abdullahi, who commended FICAN for promoting ethics, professionalism, and public understanding of financial sector issues.
Key points
- The CBN will sustain close regulatory oversight of banks, focusing on governance, asset quality, and risk management.
- 33 banks met the revised minimum capital requirements, raising a combined N4.65 trillion.
- Nigeria's gross external reserves rose to US$55.60 billion as of September 11, 2026.
