Providus Bank Fully Meets CBN Capital Requirement, Sets Record Straight

Kayode Tokede

Providus Bank Limited yesterday dispelled media reports over its compliance with regulatory capital requirements, confirming that it has successfully met and exceeded the recapitalisation threshold set by the Central Bank of Nigeria (CBN).
In a statement, the bank clarified that under the CBN’s recapitalisation framework, regional commercial banks are mandated to maintain a minimum capital base of N50 billion, stating unequivocally that it achieved this benchmark as far back as January 2025 and has since strengthened its financial standing.
According to the bank, its current paid-up capital stands at N65 billion, significantly above the regulatory minimum, underscoring its resilience and commitment to sound financial management.
The bank noted that this strong capital position places it in good stead to support its growth strategy and continue delivering value to customers and stakeholders.
Providus Bank emphasied that any suggestion implying non-compliance with the CBN’s recapitalisation requirement was inaccurate and does not reflect its current regulatory status.
The bank reiterated its dedication to maintaining robust governance standards and aligning with all prudential guidelines set by the apex regulator.
It explained: Providus Bank Limited notes recent media reports regarding the recapitalisation status of certain banks and considers it important to provide factual clarification as it relates to the Bank. Under the CBN recapitalisation framework, regional commercial banks are required to maintain a minimum capital base of N50 billion.
“Providus Bank confirms that it had met its capital requirement since January 2025 and currently has a capital base of N65 billiom which is in excess of its capital requirement. Accordingly, any suggestion that Providus Bank has not met the applicable recapitalisation threshold is not consistent with its current regulatory standing.”
The Olayemi Cardoso-led Central Bank of Nigeria (CBN) had, on March 28, 2024, announced a two-year bank recapitalisation exercise which commenced on April 1, 2024. The 24-month timeline for compliance ends on March 31, 2026. The upward capital revision is expected to ensure that Nigerian banks have the capacity to take on bigger risks and stay afloat amid both domestic and external shocks.
Specifically, the recapitalisation exercise requires a minimum capital of N500 billion, N200 billion, and N50 billion for commercial banks with international, national, and regional licences, respectively.