The Central Bank of Nigeria (CBN) has raised the minimum capital requirement for Deposit Money Banks (DMBs) with the national licences from N25 billion to N200 billion.
The Nigeria’s apex bank also increased the capital requirement for banks with regional licences from N15 billion to N50 billion and banks with international licences from N100 billion to N500 billion.
A statement from the Acting Director, Corporate Communication Department, Mrs Hakama Sidi-Ali, said that the new minimum capital for merchant banks is N50 billion.
Sidi-Ali added that the new requirements for non-interest banks with national and regional authorizations are N20 billion and and N10 billion respectfully.
According to a circular signed by the Director, Financial Policy and Regulations Department, Mr Haruna Mustafa, all banks were required to meet the new minimum capital requirements within 24 months commencing from April 1 and terminating on March 31, 2026.
Mustafa maintained that the move is to enhance banks’ resilience, solvency and capacity to continue supporting the growth of the Nigerian economy.
He enjoined banks to consider injecting fresh equity capital through private placement, right issues and offers for subscriptions to meet the new minimum capital requirements.
Mustafa also suggested Mergers and Acquisitions (M&As), and upgrade or downgrade of licence authorizations.
