With less than 90 days to the recapitalisation deadline, 19 Nigerian banks have now met the new capital requirements set by the Central Bank of Nigeria (CBN). The deadline is March 31, 2026.
The latest entrants into the recapitalised league are First Bank Nigeria, Fidelity Bank, and FSDH Merchant Bank. More banks are expected to conclude their recapitalisation plans between next week and the end of January.
Last year, 16 banks had already met the new capital requirements for their licence categories.
These included Access Holdings, Zenith Bank, GTBank, Ecobank, Stanbic IBTC, Wema Bank, Jaiz Bank, Lotus Bank, Providus Bank, Greenwich Merchant Bank, PremiumTrust Bank, Globus Bank, Citibank Nigeria, United Bank for Africa, Nova Bank, and Sterling Bank.
Fidelity Bank Raises ₦250 Billion
Fidelity Bank Plc recently raised about ₦250 billion through a private placement that opened and closed on December 31, 2025.
The offer was driven by strong investor demand, reflecting the bank’s solid financial performance and track record.
A source close to the lender described the swift completion as “a notable achievement for Nigeria’s stock market.” Regulations of the Nigerian Exchange (NGX) typically allow up to 10 days for such placements.
The proceeds comfortably exceeded Fidelity’s estimated capital gap of ₦194.5 billion, positioning the bank among the more strongly capitalised institutions with international operations.
Fidelity aims to meet the CBN’s ₦500 billion minimum capital requirement for banks with international authorisation before the March deadline.
CBN Governor Olayemi Cardoso confirmed late last year that several banks had already met the new thresholds, while others were advancing steadily.
“Several banks have already met the new capital thresholds, while others are advancing steadily and are well positioned to comfortably meet the March 31, 2026 deadline,” Cardoso said.
He disclosed that 27 banks had accessed the capital market through public offers and rights issues, with 16 already meeting or exceeding the benchmarks.
Stress tests conducted in 2025 showed the banking system remained fundamentally robust, with financial soundness indicators meeting prudential standards.
FCMB and Industry Realignments
The First City Monument Bank (FCMB) Group is in advanced stages of capital raising and regulatory verification.
Shareholders recently approved an increase in capital raise of up to ₦400 billion to retain its international licence.
Group CEO Ladi Balogun said: “The additional capital will be deployed to strengthen our capital adequacy ratio and accelerate growth.”
Analysts note that mergers and acquisitions remain limited for now, but ownership changes are becoming more likely as banks court new investors.
Ayokunle Olubunmi, Head of Financial Institutions Ratings at Agusto & Co, said: “Nothing dramatic has happened yet on the mergers front, but by January or February, we could see clearer outcomes. Capital raising through private placements and rights issues will inevitably lead to dilution for shareholders who do not participate.”
The recapitalisation race has triggered strategic realignments. Nova Bank downgraded its licence to regional status, lowering its requirement to ₦50 billion.
Consolidation is also picking up. Union Bank has merged with Titan Trust Bank, while Providus Bank is set to merge with Unity Bank, creating Nigeria’s ninth-largest lender by assets.
Still left in the race are Keystone Bank, Parallex Bank, Polaris Bank, Signature Bank, TAJBank, Citibank Nigeria, and Standard Chartered Bank Nigeria, alongside FBN Quest Merchant Bank, Coronation Merchant Bank, and Rand Merchant Bank.
These institutions must either recapitalise, merge, or risk closure before the March deadline.
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