Two of Nigeria’s top-tier financial institutions, Zenith Bank Plc and Access Holdings Plc, have confirmed their readiness to comply with the Central Bank of Nigeria’s (CBN) regulatory forbearance directive by the deadline of June 30, 2025. This commitment is aimed at aligning with capital adequacy and credit risk regulations recently re-emphasized by the apex bank.
In separate disclosures filed with the Nigerian Exchange Limited (NGX) on Wednesday, both banks outlined their respective progress toward full compliance with the CBN’s June 13 circular, which imposed temporary restrictions on banks benefitting from regulatory forbearance. Affected banks are barred from issuing dividends, bonuses, or investing in foreign subsidiaries until they regularize their exposure to Single Obligor Limit (SOL) breaches and other credit facility-related forbearances.
Zenith Bank, through its company secretary Michael Otu, stated that the bank had already surpassed the ₦500 billion minimum regulatory capital threshold set by the CBN. The bank also disclosed that its only SOL exposure related to a single obligor, with full rectification expected by June 30, 2025.
“With respect to the forbearance granted on other credit facilities, the bank confirms that this applies to only two customers. We have made substantial provisions in respect of these facilities and have taken appropriate steps to ensure full provisioning,” the statement read.
Zenith reassured its shareholders that once these adjustments are finalized, the bank will no longer be subject to any CBN forbearance restrictions and will be eligible to declare dividends in the 2025 financial year.
Access Holdings Plc, in a statement signed by its company secretary Sunday Ekwuochi, affirmed that the group is already compliant with the Single Obligor Limit. The company, however, acknowledged that it remains under forbearance concerning specific credit facilities and committed to resolving this by the CBN-imposed deadline.
“We assure our esteemed shareholders and stakeholders of our commitment to delivering sustainable value in the immediate and long term and thank them for their trust and support over the years,” the company added.
Access Holdings also confirmed that it maintains strong capital buffers and is financially positioned to reward shareholders appropriately upon completion of compliance.
Responding to growing concerns around the directive’s implications, the Central Bank of Nigeria clarified on Tuesday that the regulatory measures apply only to a small number of banks. According to Sidi Ali, Acting Director of Corporate Communications at the CBN, the restrictions are designed to ensure prudent capital management and are part of broader efforts to maintain financial system stability.
“These include temporary restrictions on capital distributions, such as dividends and bonuses, to support retention of internally generated funds and bolster capital adequacy,” the CBN noted.
The apex bank emphasized that all affected banks have been formally notified and remain under close supervisory engagement to monitor compliance progress.
The CBN’s proactive stance on regulatory forbearance is part of a larger agenda to reinforce risk management across Nigeria’s banking system. Analysts view the move as a safeguard against systemic shocks amid rising non-performing loan risks and macroeconomic volatility.
For banks like Zenith and Access that are rapidly exiting the forbearance status, the directive also presents an opportunity to showcase strong governance practices and balance sheet resilience, which may positively influence investor sentiment.
Both banks, being among Nigeria’s largest with international banking licenses, have already met the new capital requirements and are considered systemically important financial institutions (SIFIs). Their early compliance could pave the way for others in the sector to follow suit.