Tinubu commends Cardoso's reforms after recapitalisation ends

…Union Bank, Polaris, Keystone Banks on course

President Bola Tinubu has praised Olayemi Cardoso for leading reforms at the Central Bank of Nigeria (CBN), saying his policies are helping to rebuild Nigeria’s economy for long-term growth.

Speaking after the March 31, 2026, deadline for bank recapitalisation, Tinubu described Cardoso as committed and focused, commending his various reforms, including foreign exchange changes and tighter financial regulations, that have improved investor confidence and strengthened the system.

“I must single out one man here, Olayemi Cardoso, thank you very much, for all that you are doing for the country,” President Tinubu said in a stirring speech that highlighted the government’s macroeconomic programme.

The president said he has unshakeable confidence in Cardoso’s understanding of what to do and when and how to do it.

The vote of confidence follows the completion of the two-year-long capital-raising programme for the banks, in an effort aimed at shoring up their balance sheet to play more intermediation roles and be a catalyst to drive the nation’s ambitious $1 trillion economy by 2030.

That recapitalistion process saw 33 banks raise N4.65 trillion, with about four banks left to face merger risk or licence downgrades.

The CBN Governor’s successful handling of the recapitalisation included the management framework for three intervention banks, namely, Union Bank of Nigeria, Polaris Bank and Keystone Bank, which are yet to fully complete recapitalisation due to ongoing legal and regulatory issues.

The apex bank has assured the general public that these banks are still operational, stable and capable of meeting banking requirements.

It would be recalled that a few months ago, the CBN conducted an audit, which identified material issues in the books of Union Bank. This culminated in the removal of its board and senior management in January 2024.

That decision has since become the subject of litigation, with the banking regulator pursuing an appeal against a judgment that questioned the legality of the removals.

Similarly, the proposed merger between Providus Bank and Unity Bank is also facing legal huddles, which are said to be almost sorted out.

For Polaris Bank and Keystone Bank, recapitalisation is still ongoing under close regulatory watch. Both banks were earlier rescued by the CBN and are expected to complete the process once pending issues are resolved.

The recapitalisation exercise raised new minimum capital levels, including ₦500 billion for international banks and ₦200 billion for national banks, marking one of the biggest reforms in Nigeria’s banking history.

Wasiu Alli

Wasiu Alli is a business, economics cum data journalist with strong expertise covering macro trends, capital markets, government policies, corporate earnings and comparative economics analysis. Alli turns raw data into trends that not only tells compelling stories but nudges investors to make valued and informed decisions. He’s an alumnus of Lagos State University and trained at Lagos Business School. He formerly heads the Companies and Markets desk at BusinessDay where he writes and supervises the production of well researched articles on earnings updates, corporate sectoral comparisons, market intelligence as well as interviews with C-suite executives.