The Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has announced that 14 commercial banks in Nigeria have met the new CBN capital requirement.
You will recall that the CBN had earlier this year asked all banks in Nigeria to raise more money so that they can remain strong and safe.
According to the rule all International banks must have at least ₦500 billion, National banks must have at least ₦200 billion and Regional banks must have at least ₦50 billion.
Cardoso also said the 14 banks were able to raise the requirements. They did this by selling shares, issuing bonds, or attracting new investments. This shows that Nigerian banks are taking the recapitalisation order seriously.
The CBN Governor further explained that this recapitalisation process is a key factor and import steps to growing the country’s economy.
By meeting the target by the banks mean that customers’ money is safer, and the financial system is more reliable. If banks have enough capital, they can survive tough economic times without shutting down or losing people’s savings
The CBN governor further pnoted that most of the banks are still doing well.
He added that ending special waivers given to some debtors will make the banking sector cleaner and more transparent.
This progress is a bold move because only 8 banks had earlier been confirmed to meet the requirements but Now, the number has grown to 14, showing that more banks are still working hard to meet the deadline set by the CBN.
The CBN believes that with this recapitalisation, Nigeria’s banking sector will be stronger, more trusted, and better prepared to support economic growth. It will also give customers more confidence that their money is safe.
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