Nigerian banks receive N4.61 trillion injection of new funds as part of central bank's recapitalisation drive

Nigerian banks secured a substantial N4.61tn in new capital as part of the Central Bank of Nigeria's recapitalisation programme, as revealed in a press statement issued by the apex bank on Tuesday.

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The announcement was made during the 4th Annual IMF/AFRITAC West 2 High-Level Executive Forum for Financial Sector Regulation and Supervision, which took place at the CBN headquarters in Abuja.

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The capital influx occurred following the launch of the Banking Sector Recapitalisation Programme in 2024, a move aimed at bolstering the resilience of Nigerian banks amidst ongoing economic reforms.

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The CBN stated that the Governor highlighted Nigeria's regulatory and supervisory reforms as exemplifying proactive leadership, noting that the launch of the Banking Sector Recapitalisation Programme in 2024 was a strategic move to strengthen the banking sector.

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The programme, according to the CBN, has inspired similar reforms across Africa and has attracted N4.61tn in new capital, with nearly 27 per cent coming from foreign investors, while Nigerian banks expanded their footprint across African markets.

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The initiative was designed to enable banks to absorb shocks and support economic growth, and has begun to yield results in terms of investor confidence and regional expansion.

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The statement also emphasized the need for stronger cooperation among African financial regulators, citing the importance of coordinated oversight to safeguard stability in the face of increasing cross-border financial integration.

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Cardoso reiterated the CBN's commitment to stricter corporate governance standards in the financial system, emphasizing a "zero tolerance" approach to violations and highlighting the importance of accountability and compliance.

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The CBN has taken steps to strengthen credit discipline by restricting banking services for chronic defaulters, with Cardoso noting that the implementation of this restriction underscores the bank's commitment to credit discipline, financial integrity, and accountability.

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The apex bank remains committed to orthodox monetary policy aimed at restoring price stability and strengthening policy credibility, while also pursuing reforms in the financial technology space to balance innovation with financial stability.

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The CBN is working to improve regulatory oversight in the financial technology space, with the goal of promoting innovation while maintaining financial stability.

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The forum, which brought together central bank officials and regulators from six African countries, focused on strategies to address emerging risks, including those linked to digital finance, artificial intelligence, and climate-related challenges.

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The figure disclosed by the CBN is approximately N560bn higher than the N4.05tn in verified and approved capital earlier disclosed by the CBN governor in February 2026, ahead of the March 31, 2026, recapitalisation deadline.