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Fidelity, Zenith, Access among most capitalised banks in Q3 2023
Leading financial institution, Fidelity Bank, has been listed as one of most capitalized banks in Nigeria based on Q3 2023 financial results.
According to an article published in Thisday newspapers, the bank reported a capital base of N410.75 billion as of September 2023 against N314.3 billion in 2022. Also featuring on the list are Zenith Bank, UBA, First Bank, Access Holdings, First Bank Holdings, Ecobank, GTCO Holdings, Stanbic IBTC Holdings, FCMB and Sterling Financial Holdings.
Following the announcement of the planned recapitalisation of commercial banks by the Central Bank Governor, Dr. Olayemi Cardoso, at the 58th Annual Dinner of the Chartered Institute of Bankers of Nigeria on 24 November 2023, industry watchers have anticipated the announcement of capital raising exercises by banks.
Incidentally, Fidelity Bank had taken the proactive approach by securing shareholders’ nod to raise additional capital earlier in the year. At an Extra-Ordinary General Meeting (EGM) held virtually on Friday, 11 August 2023, the bank’s shareholders unanimously approved a capital raising exercise via a Public Offer for up to 10 billion Ordinary Shares and Rights Issue of up to 3.2 billion Ordinary Shares representing one new share for every 10 shares held to new and existing shareholders respectively.
Below is the list of the 10 most capitalised banks as of September 2023:
• Zenith Bank – N1.92 trillion
The third quarter 2023 financial report of Zenith Bank Plc places the bank at the topmost position in terms of shareholders fund which it put at approximately N1.92trillion, as against N1.31trillion in 2022. The bank also ranks as Nigeria’s highest profit generator so far in 2023, with a pre-tax profit of N505 billion.
This eminent position was corroborated by Nairametrics, an online platform that noted that with a capital adequacy ratio (CAR) of 20.1 per cent as of September 2023, as against 19.8 per cent as of December 2022, the bank’s stability is not in question.
• UBA -N1.778trillion
Following Zenith Bank closely is United Bank for Africa, Nigeria’s second-highest profit generator this year, which is also the second most capitalised bank as of September 2023. The bank posted a total shareholders fund of N1.778 trillion as of Q3, 2023. In 2022, the figure was N922.1 billion, with a capital adequacy ratio of 28.3 per cent, which suggests stable financial health at the end of FY 202
• Access Holdings – N1.64 trillion
Access Holdings is another Tier 1 capital bank with a total equity of N1.64 trillion as opposed to N1.231 trillion in 2022. With this figure, Access Holdings ranks as Nigeria’s third-largest bank in terms of capital base. Its Nigerian subsidiary, Access Bank Nigeria has a total equity of N1.208 trillion as of September 2023, which is a stable figure in case of any recapitalisation exercise.
•First Bank Holdings – N1.37trillion
The ranking in terms of capital base listed FirstBank as the fourth on the list. The Third Quarter 2023 results of First Bank Holdings released in September 2023 showed that the parent company of First Bank Limited has a total equity of N1.37 trillion. However, its commercial banking arm, First Bank Limited has a capital base of N1.287 trillion. In 2022, the holding company posted a capital of 995.7billion.
•Ecobank- N1.37trillion
The bank’s third quarter 2023 performance result submitted to the Exchange last week showed it recorded a shareholders fund of N1.373 trillion as against N935 billion in the same period of 2022, placing it at the fifth position of the most capitalised banks.
GTCO Holdings – N1.27trillion
GTCO Holdings, the parent group of GTBank has a total equity of N1.273 trillion, a year-to-date increase of 36.7per cent from the N931 billion recorded at the start of 2023.
While GTCO’s total equity is put at N1.27 billion, this is cumulative of all the group’s subsidiaries. However, its Nigerian subsidiary, GT Bank Nigeria holds a total capital base of N1 trillion as of September 2023 which is still a substantial figure ahead of any recapitalisation exercise.
•Stanbic IBTC Holdings – N471billion
Stanbic IBTC Holdings, the Nigerian subsidiary of Standard Bank Group is the parent of Stanbic IBTC Bank and it has a capital base of N471 billion as of September 2023. Its capital was N407.7 billion in 2022.
• Fidelity Bank Plc – N411 billion
With a capital base of N410.75 billion as of September 2023 against N314.3 billion in 2022, Fidelity Bank sits in quite a comfortable place ahead of any recapitalisation exercise for Nigerian banks.
In September 2023, the bank made a foray into international banking by acquiring the UK division of Union Bank of Nigeria.
• FCMB -N373.7billion
With a capital base of N373.7 billion as of September 2023 as against N275.8 billion in 2022, FCMB ranks as the 9th most capitalised bank in Nigeria. With a capital adequacy ratio of 16.0per cent as of December 31, 2022, FCMB’s CAR was just a little above the regulatory 15% required by the CBN.
• Sterling Financial Holdings – N165.84billion
Sterling Bank Limited is a full-service national commercial bank licensed by the Central Bank of Nigeria, and it’s a subsidiary of Sterling Financial Holdings Plc. The bank provides financial services to individuals, small businesses, and large corporations.
Sterling Bank’s capital base stood at N165.84 billion when total liabilities of N2.08 trillion were removed from total assets of N2.25 trillion. Its capital in 2022 was N154 billion.
News
NHRC calls for suspension, prosecution of senator Fadahunsi over threat to kill Accord Party supporters
The National Human Rights Commission, NHRC, has urged the senate, to suspend the senator representing Osun West, Francis Adenigba Fadahunsi for threatening to kill Accord Party members and supporters if they come out to vote on Saturday.
The senator, while addressing party supporters at Ilesha on Saturday, threatened Accord Party members and urged his party loyalists to kill them if they come out to vote in the coming governorship election August 15.
“From now on, whenever you see Accord members, kill them. I authorise you to kill them. They have wives and children too. This is a Federal Government election. On election day, even if they come with voter cards, we won’t allow them to vote,” the PDP senator said.
Reacting to the development, the Executive Secretary of the Commission, Tony Ojukwu, SAN, said the statement was capable to setting the nation ablaze and lead to abuse of rights of citizens as well as loss of lives.
He described this remarks as incitement to murder, electoral violence, and voter intimidation, saying no well meaning Nigeria should sit by and allow such rhetoric to be tolerated without consequences from the law enforcement authorities.
Ojukwu said it was not enough for the Senator to attempt explaining what he meant by the threat after the massive rebuke from the public, adding that many of his followers have already taken his directives to heart.
In a statement Wednesday, Ojukwu also urged all party chairmen to issue directives to their members to desist from any hateful , inciting, intimidating and call to violence statements ahead of all coming up elections.
“Any candidates or party faithfuls who violate these directives should be called out for violating constitutional and electoral frameworks for peaceful elections and should be surrendered to law enforcement authorities for prosecution,” Ojukwu said.
“This is not politics. This is a licence to kill. A public officer who tells citizens to murder other citizens because of party affiliation must not be allowed to remain in office for one more day,” Ojukwu said.
“The Senate leadership is hereby called upon to suspend Senator Fadahunsi immediately pending conclusive investigation by the police.
The Police and DSS must also arrest, investigate, and prosecute him now. We cannot wait until blood is spilled in Osun before we act. Prevention is the duty of the state and the leadership of the NASS is part of the state.”
The alleged remarks come days before the August 15 Osun governorship election
The NHRC said that given the gravity of the statements attributed to the Senator in the video, the matter requires urgent investigation by security agencies under due process.
The Commission is calling on authorities to immediately suspend Senator Fadahunsi from all Senate duties pending investigation.
The Commission urged citizens of Osun to remain peaceful and to report any threats to the Commission and relevant authorities as it has set up a situation room to report and document such incidents during the election period.
News
I have no regrets for my statement, I won’t apologize- says Sheikh Yahya Jingir
Sheikh Yahya jingir, an Islamic cleric and leader of the Izala Scholars Council, has said he has no regret over his recent declaration of support for a Muslim-Muslim presidential ticket, despite criticisms trailing the statement.
Jingir, who spoke in an interview with BBC Hausa monitored by Nationwide Reports on Wednesday, said his position was not politically motivated or intended to campaign for President Bola Ahmed Tinubu, but was based on what he described as his responsibility as a Muslim.
He said he would continue to support and encourage Muslims to back a Muslim-Muslim ticket, regardless of the criticisms his position might attract.
“I will continue to support and encourage the Muslim-Muslim ticket. What they say would not stop me. They started it; at a point, we suffered in their hands,” he alleged.
The cleric had, during a mass wedding organised by the Kano State Government for 1,500 couples, declared his support for the Muslim-Muslim arrangement and urged Muslims to vote in a manner that would demonstrate their numerical strength in the country.
Jingir said he decided to support the arrangement after President Tinubu “raised the flag” of the Muslim-Muslim ticket.
He added that, as a Muslim preacher, he had the right to advocate a political arrangement that was consistent with his religious convictions.
The cleric also challenged claims that Christians or other religious groups constituted a larger population than Muslims in Nigeria.
His remarks have continued to generate reactions, with some commentators describing them as divisive, while others have defended his right to express his religious and political views.
News
Nigerian senator Francis Adenigba Fadahunsi urges loyalists to kill Accord party members, supporters on Osun election day
Francis Adenigba Fadahunsi, the senator representing Osun East Senatorial District, has threatened to kill Accord Party members and supporters if they are seen on election day.
The Osun state governorship election is taking place on Saturday August 15.
Fadahunsi, who spoke in Yoruba while addressing supporters in Ilesha, said there would be trouble if members of the Accord Party were seen in the area, urging his supporters to come out and vote during the election.He also called on those present to record his statement, while making a remark that suggested his supporters would confront Accord Party members if they encountered them before the election.
“If we hear of Accord Party members coming to Ilesha, there will be trouble. We will all come out and vote. Please record me. We are here, and between now and the election, if we see anyone from the Accord Party, we will kill them,” he said.
The statement comes amid heightened political activities in Osun State ahead of the governorship election, with political parties intensifying campaigns and mobilisation of supporters across the state.
Fadahunsi is a member of the Peoples Democratic Party (PDP) and currently represents Osun East Senatorial District in the National Assembly.
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