Wema Bank Plc, a Businessfront Over 50 Diamond financial service company, has strengthened its capital position by 32.5%, surpassing the Central Bank of Nigeria’s (CBN) minimum capital requirement for commercial banks with national authorisation.
The milestone, announced by the tier-two lender in a statement on Thursday, follows the successful completion of a ₦50 billion ($33.97 million) special placement, which was fully subscribed.
This marks the second tranche in Wema Bank’s ongoing capital-raising programme and underscores the commitment of its shareholders to long-term growth, balance sheet resilience, and digital expansion.
Capital above minimum threshold
With this latest injection, Wema Bank’s total qualifying capital now stands at ₦264.87 billion ($179.96 million), well above the ₦200 billion ($135.88 million) minimum requirement for national banks.
The achievement represents a 32% capital buffer, providing a strong cushion as the banking industry races to meet the March 2026 recapitalisation deadline.
The ₦50 billion raise follows the lender’s earlier ₦150 billion ($99.92 million) Rights Issue, which opened on April 14 and closed on May 21, 2025.
That issuance, completed in September after securing regulatory approvals, marked the first time Wema Bank met and exceeded the CBN’s capital threshold, with total qualifying capital then at ₦214 billion ($142.56 million).
Moruf Oseni, Managing Director and CEO of Wema, said the milestone underscores the bank’s focus on financial strength, operational efficiency, and strategic expansion.
“We are delighted to have received all necessary regulatory approvals for our ₦50 billion special placement,” Oseni said. “This marks another major step in our strategy to strengthen Wema Bank’s capital base, enhance liquidity, and position the institution to pursue emerging opportunities for sustained growth.”
He added that the proceeds will support digital transformation, SME and retail expansion, human capital development, and financing for productive sectors of the Nigerian economy.
Ahead of the pack
Last month, the CBN disclosed that about 14 financial institutions have already met or surpassed the new capital thresholds. The apex bank warned that lenders failing to comply with the March 2026 deadline risk forced mergers or acquisitions.
The recapitalisation drive is aimed at protecting banks and depositors against potential shocks while bolstering the sector’s stability.
Under the new framework, commercial banks with international authorisation must maintain at least ₦500 billion ($339.72 million) in capital, national banks ₦200 billion ($135.88 million), regional or merchant banks ₦50 billion ($33.97 million), and non-interest banks ₦10 billion ($6.79 million).
According to Agusto & Co., Nigerian banks collectively raised ₦1.7 trillion ($1.14 billion) in 2024 and an additional ₦800 billion ($523 million) in the first seven months of 2025, with another ₦900 billion ($588 million) projected before year-end.
Figures were reported in naira and converted using the average official exchange rate of ₦1,471.8/$1 as of October 16, 2025; ₦1,501.5/$1 as of September 12, 2025; and ₦1,478.0/$1 for 2024.
