The Central Bank of Nigeria (CBN) announced the successful conclusion of its 24-month recapitalisation programme, which commenced in March 2024. According to the CBN's statement released on Wednesday, a total of 33 banks have met the stringent minimum capital requirements set by the regulator.

During the two-year period, Nigerian banks collectively raised an impressive N4.65 trillion. A significant portion of these funds, 72.55 percent, was sourced from local investors, demonstrating robust domestic confidence in the banking sector. The remaining 27.45 percent was secured from international investors, highlighting global interest and support for Nigeria's financial institutions.

Governor Olayemi Cardoso affirmed that the recapitalisation initiative has substantially strengthened the capital base of Nigerian banks. He emphasized that this strategic move has effectively positioned the banking system to more effectively support vital economic activities and enhance its resilience against potential financial shocks. Furthermore, the CBN reported that the programme has led to significant improvements in asset quality and increased transparency across bank balance sheets.

Despite the comprehensive nature of the programme, a few banks are still in the process of undergoing regulatory and judicial reviews. Crucially, the CBN assured the public that all banks remain fully operational and that banking services have continued without any disruption throughout and after the recapitalisation period.

The regulator also highlighted that capital adequacy ratios within the Nigerian banking sector remain comfortably above international benchmarks. Minimum thresholds were specifically set at 10 percent for regional and national banks, while banks with international operations were required to maintain a higher threshold of 15 percent. To further bolster the sector's stability, the CBN has strengthened its supervisory framework, mandating banks to conduct rigorous stress tests and maintain adequate capital buffers.

Looking ahead, the CBN confirmed its commitment to continuously review regulatory guidelines to ensure they consistently support robust governance structures and effective risk management practices. The successful recapitalisation programme is anticipated to empower the financial sector, enhancing its capacity to facilitate increased lending, encourage greater savings, and ultimately drive broader economic growth and stability.