With the Central Bank of Nigeria’s recapitalisation deadline of March 31, 2026 drawing closer, a growing number of banks are under increasing strain to meet the new capital benchmarks or risk major restructuring.
Industry data indicates that at least 10 lenders are yet to fully satisfy the revised capital requirements, raising concerns about possible mergers, licence downgrades or changes in ownership before the deadline.
The banks still working to close their capital gaps include Keystone Bank, Parallex Bank, Polaris Bank, Signature Bank, TAJBank, Citibank Nigeria, Standard Chartered Bank Nigeria, FBNQuest Merchant Bank, Coronation Merchant Bank and Rand Merchant Bank.
Market analysts say the final weeks of January will be critical, as several institutions race to finalise private placements, rights issues and strategic funding arrangements.
In contrast, a number of banks have already crossed the regulatory line. First Bank Nigeria, Fidelity Bank and FSDH Merchant Bank recently completed their capital exercises, joining earlier compliant institutions such as Access Holdings, Zenith Bank, GTCO, Ecobank, Stanbic IBTC, Wema Bank, Jaiz Bank, Lotus Bank, Providus Bank, PremiumTrust Bank, United Bank for Africa, Sterling Bank and Globus Bank.
Fidelity Bank’s capital raise has been particularly notable. The lender secured about N250 billion from institutional investors through a private placement that was concluded within a single day, signalling strong market confidence. The move significantly strengthens its position ahead of the N500 billion requirement for banks with international licences.
Sources close to the process say the offer was oversubscribed, with participation limited to a select group of large investors, many of whom have international exposure.
Brandspur highlights that the recapitalisation exercise is rapidly redefining competition in Nigeria’s banking sector, as capital strength becomes a major differentiator for attracting investors, corporate clients and cross-border opportunities. The platform notes that banks with weak balance sheets may struggle to retain relevance in an increasingly demanding regulatory environment.
While the CBN has not formally endorsed all newly raised capital, industry insiders confirm that many banks are in the final stages of regulatory verification. One senior banking executive disclosed that several institutions currently under pressure are expected to make public announcements before the end of the month.
CBN Governor Olayemi Cardoso has repeatedly assured stakeholders that the sector remains stable, stating that many banks are either fully compliant or well-positioned to meet the deadline. He also noted that stress tests carried out last year showed the system to be resilient, with sound risk management indicators across most institutions.
Meanwhile, FCMB Group is pushing ahead with plans to raise up to N400 billion after shareholders approved the move at an extraordinary general meeting. The bank said the funds will be used to strengthen its capital base and support expansion.
Strategic shifts are also emerging. Nova Bank recently downgraded its licence to a regional status, reducing its capital obligation, while consolidation activity is gaining momentum. The merger between Union Bank and Titan Trust Bank has been completed, and Providus Bank is set to combine with Unity Bank, a deal that would create one of the country’s largest lenders by assets.
More ownership changes are likely in the coming weeks, especially among smaller and mid-sized banks that may find it difficult to raise fresh capital independently.
As the countdown continues, the recapitalisation drive is expected to reshape Nigeria’s banking landscape, separating well-capitalised institutions from those forced into partnerships, restructuring or market exit.
