Domestic investors have contributed about 72 percent of the funds raised by Nigerian banks under the ongoing recapitalisation programme, according to the Central Bank of Nigeria (CBN).
The apex bank disclosed that financial institutions have continued to approach the capital market through various fundraising channels as they work to meet the March 31, 2026 deadline for the recapitalisation exercise.
As of February 2026, banks had raised a total of N4.05 trillion in verified and approved capital.
Domestic participation dominates fundraising
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, said N2.90 trillion of the total funds raised came from domestic investors, while N1.15 trillion—representing about 28 percent—was sourced from foreign participation.
According to him, the figures demonstrate strong local investor participation in the capital strengthening exercise across the banking sector.
“In summary, 71.67 percent is domestic mobilisation and 28.33 percent is foreign participation. This balance represents a mix of domestic and foreign investment, signalling broad investor engagement and confidence in the sector,” Cardoso said.
Thirty banks meet capital requirements
The CBN also disclosed that many banks have already complied with the new minimum capital requirements as the deadline approaches.
In a statement issued by Hakama Sidi-Ali, the Acting Director of Corporate Communications at the CBN, the regulator said 30 banks had already met the new capital thresholds applicable to their licence categories.
According to the statement, 33 banks in total have raised additional capital through rights issues, initial public offerings and private placements as part of the recapitalisation programme.
“As of March 6, 2026, the recapitalisation exercise is progressing steadily. Thirty banks have met the new minimum capital requirements applicable to their respective licence authorisations,” the statement said.
The central bank added that the capital positions of the remaining banks are currently undergoing routine verification before final confirmation of compliance within the stipulated timeline.
Capital market activity rises
Industry observers say the recapitalisation drive has increased activity in Nigeria’s capital market since the programme was introduced.
Several banks have returned to the market to raise funds from existing shareholders and new investors through rights issues, public offers and private placements.
Market analysts believe that institutional investors such as pension funds, asset managers and other investment vehicles have played a key role in the strong domestic participation recorded so far.
Purpose of the recapitalisation programme
The CBN introduced the recapitalisation programme in 2024 to strengthen the resilience of Nigeria’s banking sector.
The policy requires banks to raise fresh capital to meet revised minimum thresholds based on their operating licence categories.
According to the regulator, the capital increase is designed to help banks absorb economic shocks more effectively and expand their ability to finance businesses and households.
Experts say stronger capital buffers will also improve financial system stability and increase banks’ capacity to support key sectors of the economy.
The programme represents one of the most significant capital strengthening exercises in Nigeria’s banking industry since the 2005 banking consolidation, which reduced the number of banks through mergers and acquisitions.
CBN maintains oversight
The central bank said the recapitalisation process is being closely monitored to ensure transparency, regulatory compliance and protection for depositors and investors.
“The Nigerian banking system remains stable and sound. The recapitalisation programme remains firmly on track and will further strengthen the capacity of the banking sector to support households, businesses and sustainable economic growth,” the CBN said.
The regulator added that it will continue to maintain supervisory engagement with financial institutions throughout the recapitalisation period to ensure full compliance with prudential standards.
