Abbey Bank Plc, formerly Abbey Mortgage Bank Plc, is set to begin full commercial banking operations in November 2026, following the Central Bank of Nigeria's (CBN) approval to operate as a regional commercial bank. The move marks a significant shift for the lender, which has operated as a mortgage bank for over three decades.
Licence and Approval Timeline
The CBN granted Abbey Bank its commercial banking licence in June 2026, after the completion of the bank's capital-raising process. The bank's Managing Director and Chief Executive Officer, Mobolaji Adewumi, said internal discussions on the transition began in 2023, with a formal application submitted in 2024 and regulatory approval arriving in October 2024.
"The year 2026 represents a defining moment in the history of Abbey. Our approval to transition to commercial banking is a testament to the work invested in building this institution and the confidence placed in us by our regulators, shareholders, customers and employees," Adewumi said.
Expansion Plans and Financial Performance
Abbey Bank plans to expand into retail banking, SME lending, trade finance, and corporate banking. The bank reported a profit before tax of N3.12 billion in 2025, up from N1.22 billion in the previous year, providing a solid base for competing in the broader commercial banking market.
The bank will also upgrade its mobile banking application and corporate banking platform, migrate customers to an enhanced core banking system, and explore artificial intelligence integration in its digital services. Despite the expansion, Abbey Bank will maintain its focus on construction finance, housing delivery, and infrastructure-related activities.
Targeting a National Licence
Abbey Bank currently holds a regional commercial banking licence but aims to secure a national licence within two to three years. Achieving this would require additional capital to support operations across a wider geographical footprint and handle larger transactions. Management indicated that capital market instruments, such as commercial papers and bonds, could serve as funding tools as financing needs grow.
Adewumi said the bank intends to stand out through faster decision-making, stronger customer relationships, and a deeper understanding of clients' business needs, while keeping risk management and regulatory compliance at the centre of its strategy as it moves into new market segments.
