Nigerian Banks Stable, Well Capitalised Amid Recapitalisation Drive – ACAMB
The Association of Corporate and Marketing Communications Professionals in Banks (ACAMB) has dismissed claims circulating online suggesting that Nigeria’s ongoing bank recapitalisation exercise is a response to financial distress in the banking sector.
ACAMB said the initiative is neither a crisis response nor an indication of weakness, but a strategic move aimed at strengthening banks’ capacity to support economic growth and national development.
“It is not a crisis response, nor is it an indication of distress. Rather, it is a patriotic call for banks to scale up their capacity to drive economic growth and development,” the association stated.
The group stressed that Nigerian banks remain safe, sound and adequately capitalised, with strong capital adequacy buffers sufficient to meet customer obligations and regulatory requirements.
It clarified that the recapitalisation focuses on strengthening core ownership capital specifically share capital and share premium rather than total shareholders’ funds or other capital instruments such as bonds and preference shares.
According to ACAMB, the Central Bank of Nigeria (CBN) has consistently emphasised that the exercise is designed to promote growth and stability, not forced consolidation. The association noted that all banks were given fair and realistic timelines to meet the requirements.
“More than one-third of the banks have already met their recapitalisation targets, while most others are at advanced stages of implementation,” ACAMB said, adding that all recapitalisation plans submitted to the CBN in 2024 were vetted and approved for feasibility before execution began.
The association further disclosed that the CBN has publicly expressed satisfaction with the progress recorded so far and reaffirmed that banks are on track to meet the stipulated deadlines.
ACAMB also condemned what it described as deliberate misinformation and clickbait content aimed at causing panic, warning that such narratives could have serious economic consequences.
“The misinformation being peddled is entirely baseless and appears driven by mischief, ignorance and a reckless disregard for the economic implications of false narratives,” the group said.
It added that the association would draw the attention of relevant law enforcement agencies to such content, especially where it borders on false representation, economic sabotage or violations of the Cybercrime Act.
While acknowledging the constitutional right to freedom of expression, ACAMB stressed that it must be exercised responsibly, with accuracy and fairness.
Addressing specific claims against some financial institutions, the association clarified that FirstBank, United Bank for Africa (UBA), Fidelity Bank and FCMB are international banks that have made significant progress in their recapitalisation programmes and are well positioned to complete the process ahead of schedule.
“They have exceeded the capital thresholds for national banks and face no risk of undercapitalisation,” ACAMB said.
