Providus Bank Limited has confirmed that it has exceeded the minimum capital threshold set by the Central Bank of Nigeria (CBN), posting a capital base of N65 billion well above the N50 billion requirement for regional commercial banks.
The bank disclosed this in response to inquiries regarding its recapitalisation status, clarifying that it has been compliant since January 2025. This statement directly counters recent reports suggesting the lender might fall short of regulatory expectations.
According to Providus Bank, claims questioning its compliance are inaccurate and do not reflect its current standing with regulators. The bank emphasized that its capital position remains strong and fully aligned with the CBN’s recapitalisation framework.
The recapitalisation policy introduced by the Central Bank of Nigeria mandates regional banks to maintain a minimum capital base of N50 billion, part of broader efforts to strengthen the resilience and competitiveness of Nigeria’s banking sector.
Planned Merger With Unity Bank
Providus Bank is also progressing with its planned merger with Unity Bank Plc. Once completed, the combined entity is expected to transition into a national commercial bank, meeting the significantly higher N200 billion capital requirement.
Both institutions have confirmed that integration processes are already underway, with key regulatory approvals—including that of the CBN—secured. Shareholders have also endorsed the merger, while final court approval remains the last major step before completion.
Upon conclusion, the merged bank is projected to join the ranks of institutions that meet the new national banking capital threshold, positioning it for broader operational reach and enhanced market competitiveness.
Industry-wide, the recapitalisation exercise continues to gain traction. The Central Bank of Nigeria recently revealed that as of early March 2026, 30 banks have already met the updated capital requirements tied to their respective licences. Additionally, 33 banks have raised fresh capital through mechanisms such as rights issues, initial public offerings (IPOs), and private placements.
The regulator noted that institutions yet to be confirmed compliant are undergoing routine supervisory assessments, suggesting that more banks could soon meet the required thresholds.
