LAGOS, — following the successful conclusion of The Central Bank of Nigeria (CBN) 24-month banking sector recapitalization exercise, where 33 out of 37 deposit money banks successfully met the new minimum capital requirements as of the March 31, 2026, deadline.
The exercise, which injected approximately N4.65 trillion in fresh capital into the financial system, has reshaped the landscape of Nigerian banking. However, the fate of four lenders remains the subject of intense market speculation.
The “Intervention Trio” Granted Breathing Room
While the deadline has passed, the CBN has moved to calm nerves regarding Polaris Bank, Union Bank, and Keystone Bank. All three lenders failed to meet the capital threshold by March 31 but remain operational under heavy regulatory oversight.
In a statement the CBN Governor Olayemi Cardoso urged depositors not to panic, clarifying that these banks are currently entangled in “judicial and regulatory processes” that have delayed their final capital injections.
“These banks have the capacity to raise the required capital and are in the process of doing so. We are maintaining a close watch until judicial processes are concluded,” the apex bank noted.
Unity-Providus Merger: A Strategic Escape
Unity Bank, which had long struggled with a negative capital position, appears to have secured its future through a “business combination” with Providus Bank.
The merger, which received the CBN’s “no objection” nod earlier this year, created a combined entity with a capital base exceeding N200 billion, satisfying the requirement for a national banking license. Final court sanctions for the merger are expected in the coming days.
Sector Outlook: A $1 Trillion Ambition
Analysts suggest that the successful recapitalization of the 33 banks provides the necessary “heavy lifting” to support Nigeria’s goal of becoming a $1 trillion economy by 2030.
With the tier-1 banks (GTCO, Zenith, Access, UBA, and First Bank) significantly exceeding the ₦500 billion requirement for international licenses, the focus now shifts to how the remaining four laggards will exit their current “regulatory holding pattern”—either through fresh equity, further mergers, or license downgrades.
Recapitalization score card (April 2026)
| Total deposit money banks | 37 |
| Successfully met recapitalization | 33 |
| In-Process/Regulatory Oversight | 4 (Polaris, Union, Keystone, Unity) |
