Nigeria's Banking Recapitalisation Pushes Growth Amid Economic Challenges

The Central Bank of Nigeria (CBN) has launched a sweeping recapitalisation programme, setting new minimum paid‑up capital thresholds: ₦500 billion for international commercial banks, ₦200 billion for national commercial banks, ₦50 billion for regional commercial banks, and lower limits for merchant and non‑interest banks. The reform is intended to bolster financial stability, expand credit access, raise investor confidence and support a more inclusive economy. It also raises capital standards for micro‑finance institutions, encouraging stronger governance, better risk management and greater investment in technology and cybersecurity.

In a parallel outlook, FirstBank of Nigeria notes that macro‑economic stability has improved, with external reserves reaching $51.46 billion and foreign‑exchange market liquidity strengthening. The bank argues that the next priority is converting this stability into higher private investment, productivity and living‑standard gains, while warning that inflation remains high and financing conditions stay restrictive.