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JPMorgan receives preliminary approval to establish merchant bank in Nigeria
The Central Bank of Nigeria (CBN) has granted approval-in-principle to JPMorgan Chase & Co. to establish a new subsidiary, JPMorgan Merchant Bank Nigeria Limited. This regulatory milestone follows a reported N50 billion (approximately $38 million) statutory capital deposit by the American financial institution to meet the minimum requirements for a national merchant banking license.
The proposed bank will focus on wholesale banking, capital markets, and advisory services, including corporate finance, mergers and acquisitions, and strategic financial consultancy. This move marks a significant expansion for JPMorgan, transitioning from its current representative office in Lagos to a fully licensed operational entity in Africa’s largest economy.
Alongside the preliminary approval, the CBN cleared the bank’s proposed leadership. Adepapo Adedayo Olagunju has been appointed as Managing Director. The board will also include non-executive directors Latter Kevin George, Nzelu Chinedum Izunwanne, and Syed Gabriel Murtaza, as well as independent non-executive directors Alade Sarah Omotunde, Ajayi Olukonyinsola, and Adetu Seni.
The approval is part of a broader reform agenda led by CBN Governor Olayemi Cardoso to strengthen financial stability and deepen Nigeria’s integration with global capital markets. JPMorgan is expected to finalize its full regulatory licensing and commence operations between late 2026 and early 2027, pending incorporation with the Corporate Affairs Commission and other operational requirements.
Entities
Adedapo Adedayo Olagunju · Central Bank of Nigeria · JPMorgan · JPMorgan Chase & Co. · Michael Akuka · Nigeria · Olayemi Cardoso
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] The new entity will be named JPMorgan Merchant Bank Nigeria Limited. nairametrics.com
- [● 2 SOURCES] The bank must obtain a final banking license before commencing operations. nairametrics.com
- [○ 1 SOURCE] Adedapo Adedayo Olagunju has been nominated as the managing director of the proposed merchant bank. nairametrics.com
- [● 2 SOURCES] The merchant bank will provide services such as corporate finance, trade finance, and investment advisory.
- [● 3 SOURCES] The Central Bank of Nigeria granted Approval-in-Principle to JPMorgan to establish a merchant bank. nairametrics.com
- [● 2 SOURCES] The approval follows the implementation of Nigeria’s banking sector recapitalization exercise. nairametrics.com