Central Bank of Nigeria has dismissed widespread rumours claiming that Polaris Bank is facing liquidation, describing the reports as false and misleading while reaffirming the stability of the country’s banking system.
The apex bank issued the clarification via its official account on X, where it flagged a viral post alleging that Polaris Bank had failed to meet recapitalisation requirements and was on the brink of losing its operating licence.
“This content is fake. Let the public be guided. The Nigerian Banking System is Safe and Secure,” the CBN stated.
False Claims and Market Reactions
The viral claim suggested that Polaris Bank was set for liquidation under the supervision of the Nigeria Deposit Insurance Corporation and that industrialist Razaq Okoya had submitted a bid to acquire and revive the bank.
However, the CBN firmly rejected these assertions, noting that they do not reflect the current realities of the banking sector.
Recapitalisation Milestone
The clarification comes shortly after the CBN announced that 33 banks successfully met new capital requirements under its recapitalisation programme.
According to the regulator, the sector raised approximately ₦4.65 trillion over a 24-month period, boosting capital adequacy ratios above global benchmarks set under the Basel Committee on Banking Supervision.
While the majority of banks met the threshold, the CBN acknowledged that a small number of institutions remain under regulatory and judicial review.
Polaris Bank’s Recent Challenges
Polaris Bank has faced a series of regulatory interventions in recent years. In January 2024, the CBN dissolved the boards and management of Polaris Bank, alongside Union Bank of Nigeria and Keystone Bank, as part of broader efforts to strengthen governance and oversight.
The bank was also at the centre of controversy during its 2022 sale process, amid allegations that a higher acquisition bid had been overlooked.
More recently, a ruling by a Federal High Court in Lagos reportedly reversed the dissolution of Union Bank’s board. In response, the CBN said it is reviewing the judgment while maintaining that the bank’s regulatory status remains unchanged.
Reassurance to the Public
The central bank’s swift response underscores its effort to maintain confidence in Nigeria’s financial system amid the spread of misinformation, especially on digital platforms.
