CBN Recapitalisation Deadline Nears: Three Nigerian Banks Still Below Capital Requirement
The Central Bank of Nigeria (CBN) has disclosed that three Nigerian banks have yet to meet the new minimum capital requirements introduced as part of its banking sector recapitalisation programme. This revelation comes just weeks before the regulatory deadline of March 31, 2026, drawing significant attention across the financial industry as institutions scramble to comply with the updated capital thresholds.
Progress in Recapitalisation Efforts
According to the apex bank, the majority of lenders have successfully strengthened their capital base, with only a small number still undergoing final verification of their financial positions. CBN spokesperson Hakama Ali-Sidi confirmed in a statement released on Friday that 30 banks have already met the minimum capital requirements tied to their respective licences. This marks substantial progress in the recapitalisation exercise that commenced nearly two years ago.
"As of March 6, 2026, the recapitalisation exercise is progressing steadily. Thirty banks have met the new minimum capital requirements applicable to their respective license authorisations," the statement said. The regulator also clarified that the remaining three banks are currently undergoing routine verification of their capital positions after participating in capital raising efforts. These banks are among the 33 financial institutions that approached the capital market to raise fresh funds through rights issues and Initial Public Offerings (IPOs).
Rapid Advancements in Compliance
Recent figures from the regulator indicate that banks have made rapid progress in meeting the requirements within a short timeframe. During the 304th Monetary Policy Committee briefing, the Governor of the Central Bank of Nigeria, Olayemi Cardoso, disclosed that only 20 banks had met the new capital requirements as of February 24, 2026. However, by March 6, an additional ten banks had completed their capital raising processes, bringing the total number of compliant banks to 30. This sharp increase reflects aggressive fundraising campaigns by banks across the country as they seek to strengthen their balance sheets and align with regulatory expectations.
Importance of the Recapitalisation Initiative
The recapitalisation exercise is a key component of the CBN's strategy to build stronger and more resilient banks capable of supporting Nigeria's economic growth. In March 2024, the apex bank introduced new capital thresholds for financial institutions and gave lenders two years to meet the requirements. This move was designed to prepare Nigerian banks for larger transactions, improve financial stability, and position the sector to compete more effectively in global markets. Industry analysts note that the policy has already spurred significant activity in the capital market, with several banks launching extensive fundraising programmes to boost their capital base.
Countdown to the Deadline
With the March 31, 2026 deadline fast approaching, focus has shifted to the remaining three banks yet to meet the requirements. While the regulator has not disclosed the identities of the institutions still undergoing verification, the CBN maintains that the recapitalisation programme remains on track. Market observers anticipate further announcements in the final weeks of the exercise as banks conclude their fundraising and verification processes. If successfully completed, the recapitalisation drive is expected to reshape Nigeria's banking landscape and create more robust institutions capable of supporting large-scale economic development.
In a related development, SunTrust Bank Nigeria Limited has successfully exceeded the N50 billion minimum capital requirement set by the Central Bank of Nigeria, just four weeks before the March 31 deadline. Sources familiar with the matter confirmed that the bank's total paid-up capital now stands at approximately N51.1 billion, placing it comfortably above the regulatory benchmark. This milestone positions the regional lender among the growing list of financial institutions that have met the recapitalisation threshold.
