CBN: 16 banks fully meet recapitalisation target

The Central Bank of Nigeria (CBN) says 16 banks have fully met new recapitalisation requirements, while 27 others have raised fresh capital ahead of the deadline.

CBN Governor Olayemi Cardoso announced this after the MPC meeting in Abuja, describing the exercise as smooth and on track.

Cardoso said stronger capital buffers will improve banks’ stability at home and across African markets where they operate.

At the meeting, the MPC voted to retain the Monetary Policy Rate at 27%, maintain the 45% CRR for deposit money banks, keep merchant banks’ CRR at 16%, apply a 75% CRR on non-TSA public deposits, and hold the liquidity ratio at 30%.

The CBN Governor said Nigeria’s foreign reserves now stand at $46.7 billion—equal to 10 months of import cover—boosted by better oil output, rising remittances, stronger non-oil exports, and renewed portfolio inflows.

Cardoso noted that inflation has dropped from over 34% a year ago to about 16%, signalling improving macroeconomic stability and rising investor confidence.

He defended the halt of CBN’s direct intervention loans, saying past programmes were unsustainable with N4.69 trillion still outstanding.

The new market-driven approach, he said, encourages banks to innovate and reduces distortions.

Cardoso also described Nigeria’s exit from the FATF grey list as a major boost to correspondent banking relationships.

On forex stability, he said the market now records around $500 million in daily turnover without CBN intervention, with spreads narrowing from 60% to 2%. Mm

“The fear and uncertainty that once characterised the FX market have disappeared,” he said.