JPMorgan Chase is deepening its Nigerian footprint, with its West Africa managing director, Adedapo Adedayo Olagunju, citing economic reforms and the quality of Central Bank of Nigeria regulation as key drivers. The move follows the CBN’s approval-in-principle for a new merchant bank.
Adedapo Olagunju, made the comment at the 32nd Nigerian Economic Summit in Abuja on Tuesday. He said the impact of reforms over the past three to four years and professional regulation at the CBN explained the bank’s decision to expand.
JPMorgan received approval-in-principle on 23 October for JPMorgan Merchant Bank Nigeria Limited. Olagunju has been cleared as managing director. The bank must still incorporate, complete operational requirements and secure a final licence before starting business.
The US lender has deposited N50 billion, about $38 million, with the CBN. This matches the minimum capital requirement for a nationally licensed merchant bank under the recapitalisation framework. Bloomberg reported the deposit as one of the final steps, with approval targeted for late 2026 or early 2027.
A full licence would allow JPMorgan to move beyond its longstanding Lagos representative office into broader corporate finance, lending and trade services. The bank has advised Nigerian governments and corporates on Eurobond issues for years.
Nigeria’s recent reforms provides supporting ground. Inflation has fallen sharply from peaks above 34% in late 2024, while external reserves have rebuilt above $50 billion. The CBN projects real GDP growth of about 4.5% in 2026, up from an estimated 3.9% in 2025.
JPMorgan also included Nigeria in its new Government Bond Index–Emerging Markets Edge with a 7.4% weighting. This marks a return more than a decade after the country’s 2015 removal from an earlier index amid foreign-exchange access issues.
Olagunju described the CBN as “very well professionally run” and said the bank is “putting our money where our mouth is.” Nigeria Revenue Service chairman Zacch Adedeji has separately called the expansion a signal of investor confidence in ongoing fiscal and monetary reforms.
The development aligns with the CBN’s push for stronger capitalised banks and deeper markets as authorities target a $1 trillion economy. Final licence timing remains subject to regulatory clearance and completion of remaining conditions.
