CBN Recapitalization Program Raises ₦4.65 Trillion for Banks

The Central Bank of Nigeria (CBN) announced that 33 banks successfully met the revised minimum capital requirements as part of its recapitalization program, which concluded recently. This initiative raised a total of ₦4.65 trillion over 24 months, significantly exceeding the Basel benchmark for capital adequacy ratios.

Dr. Jerri Igwilo, a former banker and CEO of Wynk Limited, emphasized the need for the next phase of bank reforms to focus on enhancing customer complaint management systems.

Olubunmi Ayokunl, Head of Financial Institutions at Augusto & Co, noted that the increased capital would lead to expanded loan offerings and improved investor confidence. CBN Governor Olayemi Cardoso highlighted the program's role in supporting long-term economic growth and achieving Nigeria's goal of becoming a $1 trillion economy.

Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise, pointed out that while the recapitalization has shown tangible results, the banking sector still needs to address the imbalance between short-term and long-term lending.