The Deputy Governor, Corporate Services, Central Bank Of Nigeria (CBN), Ms Emem Usoro, has said that Nigeria must ensure a strong, stable, and well-capitalised banking sector, if it hopes to attain its goal of becoming a one-trillion-dollar economy.
Delivering the keynote address at the 36th Finance Correspondents Association of Nigeria (FICAN) and Business Editors seminar in Abuja, with the theme: “Playing the Global Game, Banking Recapitalization, Towards a 1 Trillion Dollar Economy” Usoro described the recapitalisation exercise as a critical policy response to global financial changes and one that would enhance the banking system’s capacity to fund and power the economy effectively.
She noted that the last major recapitalisation exercise in 2004, which raised the minimum capital base for banks to N25bn, had reduced the number of banks from 89 to 25 and helped stabilise the sector.
However, with increasing global financial flows, evolving risks, and Nigeria’s renewed development ambition, a more robust financial intermediation framework was now required. “As we aspire to build a $1tn economy, all hands must be on deck,” she said.
According to the deputy governor, the recapitalisation drive is not just about raising capital but also about improving financial system resilience, fostering competition, and positioning Nigerian banks to support development financing.
“We must consider the recapitalisation of our banks to be able to fund, finance and power the economy and favourably compete globally with its peers in other climes,” she said, urging stakeholders to provide sustained support through policy clarity, implementation discipline, and strategic communication.
