Sterling Bank, Ecobank, 22 Other Banks Meet CBN Recapitalisation Thresholds Ahead of 2026 Deadline

Kayode Tokede

In an evolving development, 24 Nigerian banks, including Sterling Bank, Ecobank Nigeria and 22 several others, have successfully met the new capitalisation requirements set by the Central Bank of Nigeria (CBN). 

This accomplishment is a significant step towards strengthening the resilience of the country’s banking sector, which is critical in supporting economic growth and financial stability.

The recapitalisation policy, which kicked off in 2024, mandates commercial banks with international authorisation to raise at least N500 billion, national banks N200 billion, and regional banks N50 billion. 

Non-interest banks were also given clear capitalisation thresholds. For national non-interest banks, the requirement was N20 billion, while regional ones needed to raise N10 billion.

The 24-month compliance window, set to end on March 31, 2026, has ignited a flurry of equity issuances, merger discussions, and balance sheet restructuring across the sector. 

This move follows in the footsteps of the 2004 recapitalisation exercise, under then-CBN Governor Charles Soludo, which saw a similar transformation of the sector.

That initiative, which raised the capital requirement from N2 billion to N25 billion, reduced the number of banks from 89 to just 25, consolidating the sector and paving the way for stronger players. 

As of January 14, 2026, 23 banks have successfully met the new capital requirements. Access Bank led the way, raising N351 billion through a rights issue, which allowed the bank to exceed the CBN’s minimum requirement of N500 billion. 

The rights issue, involving 17.77 billion shares at N19.75 each, has strengthened Access Bank’s capital base to N602.8 billion, exceeding the regulatory threshold by N102.8 billion. Zenith Bank raised over N350 billion through a combination of rights issues and public offers, raising its capital to N614 billion. 

Meanwhile, First HoldCo recently confirmed that First Bank reached its N500 billion target having deployed a series of strategic initiatives, including a rights issue, private placement, and the sale of its merchant banking subsidiary.

Several national banks have also completed their recapitalisation, with Sterling Bank’s effort following a series of targeted capital raise efforts by its parent company, Sterling HoldCo, the latest of which was a public offer to raise over N88 billion. 

Both Sterling and First Bank’s confirmation comes as their parent companies finalise regulatory approvals for their recent public offers. On the other hand, Wema Bank raised N150 billion through a rights issue, while Citibank and Standard Chartered Nigeria met their requirements with support from their international parent companies.

Among the non-interest banks (NIBs), The Alternative Bank (AltBank), Jaiz Bank, TAJBank, and Lotus Bank have also met the new capitalisation thresholds, further reinforcing the sector’s commitment to inclusivity and diverse banking options. 

AltBank, as far back as May 2025, had secured the necessary capital injection, pushing its capital base comfortably above the CBN’s required threshold for NIBs with national authorisation. 

The bank’s efforts have positioned it as a strong contender in the non-interest banking space, ready to compete and drive growth. 

With 23 banks now meeting the CBN’s capitalisation requirements, the Nigerian banking sector is poised for greater stability and growth. 

These banks are now better positioned to support Nigeria’s economic agenda, driving investments and ensuring a more resilient financial system. 

The recapitalisation effort is not only a regulatory victory but also an essential step in ensuring that the Nigerian banking sector remains competitive on the global stage.

As the 2026 deadline approaches, further capital raises and new investments are expected to unfold. CBN Governor, Olayemi Cardoso, stated earlier in the year that the banking recapitalisation is on track, assuring system resilience while others work towards the March 2026 deadline. 

The governor assured Nigerians that non-compliant banks may have their authorisation licences downgraded or mergers, without immediate risk to deposits. 

This exercise, much like the 2004 consolidation, will shape the future of banking in Nigeria, ensuring that the industry is well equipped to take on the demands of an increasingly complex and competitive market.