Capital requirement: 14 banks attain CBN’s target – Cardoso

CBN building

Governor of the Central Bank of Nigeria, Olayemi Cardoso, on Tuesday, said 14 banks have so far attained the new regulatory capital requirements introduced earlier this year.

Cardoso disclosed this while briefing journalists in Abuja on the outcome of the Monetary Policy Committee meeting in Abuja.

He said, “On the financial sector, the MPC noted the continued resilience of the banking system, with most financial soundness indicators remaining within projected benchmarks.

“Members also acknowledge the significant progress in the ongoing bank recapitalisation exercise, as 14 banks have fully met the new capital requirement.

“The MPC therefore urge the bank to continue the implementation of policies and initiatives that will ensure the successful completion of the ongoing recapitalisation exercise.”

Cardoso also announced the successful termination of forbearance measures and waivers on civil obligors, saying the step has enhanced transparency, risk management, and long-term financial stability in the sector.

He assured that the removal of the forbearance measures was only transitory and did not pose any risk to the soundness or stability of the banking industry.

On March 28, 2024, the CBN raised the minimum capital requirement for commercial banks with international licences to N500 billion.

Since then, many banks have embarked on capital-raising moves, including share offers and bond issuances, to meet the target.

On July 22, the CBN said only eight banks had fully met their recapitalisation requirements.