UBA Announces No Dividend for 2025, Strong 2026 Outlook

UBA Plc's Group Managing Director and Chief Executive Officer, Olive Alawuba, stated in a television interview that the bank will not declare a final dividend for the 2025 financial year due to unique regulatory challenges imposed by the Central Bank of Nigeria. These challenges require banks to exit the regulatory forbearance loan window and align with prudent loan classification standards, necessitating the reclassification of certain credit exposures and recognizing significant provisions.

UBA's non-performing loan ratio has temporarily exceeded the threshold required for dividend distribution, leading to this decision. Despite this, Alawuba emphasized UBA's strong dividend track record, having paid a total dividend of N2.80 per share in 2023 and N3.25 per share in 2024.

Looking ahead, UBA anticipates a recovery in asset quality and a return to dividend payments in 2026, supported by a robust loan growth of approximately 2% in the first quarter of 2026 and a strong customer deposit base of N27.2 trillion.