ABUJA— Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, yesterday announced that 14 Nigerian banks have successfully met the new capital requirement under the ongoing recapitalisation exercise.
Cardoso made the disclosure while presenting the communiqué from the 302nd meeting of the Monetary Policy Committee (MPC) in Abuja.
At the meeting, the apex bank also reduced the Monetary Policy Rate (MPR) by 50 basis points—from 27.5 percent to 27 percent—drawing commendations from private sector operators, who however urged further reforms to ease the high cost of living.
The recapitalisation drive sets new thresholds: N500 billion for commercial banks with international licences, N200 billion for national banks, and N50 billion for regional banks. Merchant banks now require N50 billion, while non-interest banks must hold N20 billion (national) and N10 billion (regional).
According to Cardoso, the MPC lauded the significant progress in the recapitalisation exercise and called on the CBN to sustain policies that will ensure its successful completion.
He further disclosed the end of forbearance measures and single obligor waivers, which, he said, have enhanced transparency and long-term financial stability.
On monetary policy adjustments, the CBN announced:
- MPR reduced to 27% (from 27.5%)
- Standing facilities corridor adjusted to +250/-250 basis points
- CRR for commercial banks revised to 45% (from 50%)
- CRR for merchant banks retained at 16%
- Liquidity ratio unchanged at 30%
- New 75% CRR imposed on non-TSA public sector deposits
Cardoso said the policy easing was influenced by five consecutive months of disinflation, projections of declining inflation through 2025, and the need to stimulate economic recovery.
He added that Nigeria’s external reserves rose to $43.05 billion as of September 11, 2025, up from $40.51 billion in July, with an import cover of 8.28 months.
Private Sector Reactions
- NECA: The Nigeria Employers’ Consultative Association hailed the modest rate cut but urged the CBN to ensure it translates into cheaper credit and lower business costs.
- CPPE: The Centre for the Promotion of Private Enterprise described the easing as a “significant policy shift” that could stimulate growth but praised the 75% CRR on non-TSA deposits as a safeguard against liquidity risks.
- ASBON: The Association of Small Business Owners of Nigeria applauded the cut as “positive” but warned its impact on lending rates may not be immediate.
- Analysts: Some experts expressed caution, citing insecurity and volatile global commodity markets as potential threats to sustaining the policy.
