Business

Zenith, Wema Bank Lead Kast Week Recapitalisation Drive As Banking Sector Sees Strong Growth

Published

10 months ago

February 3, 2025

The Nigerian banking sector witnessed significant developments last week, with Zenith Bank and Wema Bank making notable strides in their recapitalization efforts.

As banks adapt to evolving regulatory requirements, both financial institutions have taken strategic steps to bolster their capital bases, ensuring long-term stability and competitiveness.

Zenith Bank Plc announced that it had received full regulatory approval from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) for its recently concluded hybrid offer. The offer included:

A Rights Issue of 5,232,748,964 ordinary shares at N36.00 per share, which was fully subscribed at 100.18 percent.

A Public Offer of 2,767,251,036 ordinary shares at N36.50 per share, which saw an overwhelming 160.47 percent subscription rate. Following the CBN’s capital verification exercise, 4,440,587,250 shares were allotted.

Wema Bank also announced plans to raise N200 billion in fresh capital through a Rights Issue and a Special Placement Exercise, set to commence on April 1, 2025. This represents the second and final tranche of its capital-raising initiative, following the N40 billion raised in the first tranche. The additional capital will position Wema Bank above the CBN’s minimum capital requirements for a national banking license.

The banking sector’s strong performance was reflected in the NGX Banking Index, which surged by 6.74 percent week-on-week (W-o-W) to close at 1,190.35.

Tier 1 Banks: Zenith Bank led the week’s gainers with an 11.21% increase, followed by UBA (10.88%) and AccessCorp (9.01%).

Tier 2 Banks: Wema Bank recorded the highest gain in its category, rising by 25.82 percent, followed by FCMB (17.55%) and Stanbic IBTC (11.72%).

The recapitalization efforts of both Zenith Bank and Wema Bank reflect a broader trend of strengthening financial institutions in Nigeria’s banking sector as lenders prepare for increased regulatory demands and future economic growth.

Business

Naira Records Second Consecutive Depreciation Against US Dollar

Published

5 days ago

November 12, 2025

Editor

The Naira recorded its second consecutive depreciation against the United States dollar at the foreign exchange market on Tuesday to continue the bearish trend this week.

The Central Bank of Nigeria’s data showed that the Naira further weakened on Tuesday to N1,438.71 against the dollar, down from N1,437.2933 exchanged on Monday.

This means that the Naira again dropped by N1.42 against the dollar on Tuesday on a day-to-day basis.

At the black market, the Naira remained flat at N1465 per dollar on Tuesday, the same rate traded on Monday.

This is the second consecutive decline of Nigerian currency at the official market since the commencement of this week.

Meanwhile, the country’s external reserves had continued to rise, standing at $43.37 billion as of Monday, 10th November 2025, up from $43.35 billion on November 7.

Business

Tinubu Approves 15% Import Duty On Petrol, Diesel

Published

3 weeks ago

October 30, 2025

Editor

President Bola Tinubu has approved a 15 percent ad-valorem import duty on diesel and premium motor spirit (PMS), also known as petrol.

This was announced in a letter dated October 21, 2025, where the private secretary to the president, Damilotun Aderemi, conveyed Tinubu’s approval to the Federal Inland Revenue Service (FIRS) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

Tinubu gave his approval, following a request by the FIRS to apply the 15 percent duty on the cost, insurance and freight (CIF) to align import costs to domestic realities.

With the approval, the implementation of the import duty will increase a litre of petrol by an estimated N99.72 kobo.

The latest development has led to the Nigerian National Petroleum Company Limited (NNPCL) announcing that it has begun a detailed review of the country’s three petroleum refineries, with a view to bringing them back online.

NNPCL Group Chief Executive Officer (GCEO), Bayo Ojulari, made the announcement in a post on his official X handle on Wednesday night.

According to Ojulari, one of the options being explored by the NNPCL is to search for technical equity partners to ‘high-grade or repurpose’ the facilities.

Tagged: “Update on Our Refineries”, Ojulari said: “The NNPCL continues to remain optimistic that the refineries will operate efficiently, despite current setbacks.”

It can be recalled that despite spending about $3 billion on revamping the refineries, only the 60,000 barrels per day portion of the facility worked skeletally for just a few months before packing up.

The Warri refinery has remained ineffective weeks after it was gleefully announced to have returned to production, while the one situated in Kaduna State never took off at all.

Business

NNPCL Raises Fuel Price

Published

1 month ago

October 13, 2025

Editor

The Nigerian National Petroleum Company Limited (NNPCL) has increased the pump price of petrol from ₦865 to ₦992 per litre, marking a fresh hike that has sparked widespread concern among motorists and consumers .

As of the time of filing this report, the company has not released any official statement explaining the reason for the sudden adjustment.

During visits to several NNPC retail outlets, The Nation observed fuel attendants recalibrating their pumps to reflect the new price.

At NNPC filling station on Ogunusi road, Ojodu Berger, petrol attendants at the station said they were instructed to change the price to reflect the new rate N992 per litre.

However, checks at Ibafo along the Lagos /Ibadan expressway showed that NNPC outlets still displayed the old price of N875 per litre, although they were not selling to commuters.

Most of the NNPC stations were not dispensing fuel.