Nigeria's six biggest banks grew their combined assets by 272% between Q1 2022 and Q1 2026, far outpacing South Africa's top six lenders which recorded 40% growth over the same period, according to a comparison of financial statements. However, South African banks still dominate in overall dollar valuation, with combined assets of around $664 billion compared to Nigeria's $154 billion.
Nigeria's top banks lead in asset expansion
Access Bank remains Nigeria's largest lender by assets, with a 339% surge to ₦53.1 trillion. Ecobank followed with 336% growth to ₦48.83 trillion, and UBA expanded by 273% to ₦33 trillion. Zenith Bank grew 210% to ₦32.01 trillion, First Holdco increased assets by 192% to ₦26.88 trillion, and GTCO posted 239% growth to ₦18.7 trillion.
In contrast, South Africa's leading banks—Standard Bank Group, FirstRand, Absa Group, Nedbank Group, and Capitec Bank—saw combined assets grow from R8.60 trillion to R12.06 trillion, a 40% increase.
Why Nigerian banks are growing faster
Economist and former central banker Chukwunonso Ihuoma attributed the rapid growth to expansion across different markets. "As they increase their branch networks, customer base and investments, their asset sizes and asset quality rise," he said. Stronger deposit mobilisation and entry into new markets also contributed.
Nigerian banks raised ₦4.65 trillion in fresh capital by early 2026, with over 72% from local investors. Analysts expect this to accelerate credit growth and balance sheet expansion from 2027.
Context matters: Nigerian banks still smaller in dollar terms
Lagos-based emerging markets analyst Ike Ibeabuchi cautioned that slower South African growth reflects market maturity. "Even though Nigerian big banks are growing their assets more than South African peers, caution must not be thrown to the wind. When a market becomes more mature, its growth becomes slower. It does not mean the market has tanked."
Nigeria's top six banks hold about $154 billion in total assets, while South Africa's leading banks have around $664 billion.
Recapitalisation to drive further growth
According to Ibeabuchi, the impact of the raised funds will become visible from 2027. "I think banks in Nigeria will feel the impact of the funds they raised from 2027. It will not only be felt in asset size but also in asset quality, revenue, profits, deposits, loan growth, capital adequacy growth, credit ratings and corporate governance."
While Nigerian banks still trail South African giants in size, the latest figures indicate they are expanding faster than ever and positioning themselves to finance larger businesses, infrastructure projects, and economic growth in the coming years.
