Governor of the Central Bank of Nigeria, Olayemi Cardoso, has called on Nigerian banks to ensure that funds raised through ongoing recapitalisation efforts are directed toward critical sectors of the economy, particularly small and medium-sized enterprises (SMEs), agriculture, and infrastructure.
Speaking on the importance of the banking sector’s recapitalisation programme, Cardoso said the initiative is not merely about increasing banks’ capital bases but about positioning financial institutions to support economic growth and development. He stressed that the additional capital should translate into increased lending and investments in sectors capable of creating jobs and boosting productivity.
According to the CBN governor, SMEs remain a vital component of Nigeria’s economy, while agriculture and infrastructure are essential for achieving food security, industrialisation, and sustainable development. He noted that strategic investments in these areas would help strengthen the country’s economic resilience and accelerate growth.
Cardoso also urged banks to embrace innovation, improve risk management practices, and deepen financial inclusion to ensure that businesses and underserved communities have greater access to credit and other financial services.
The remarks come as Nigerian banks continue efforts to meet the new capital requirements introduced by the Central Bank, with regulators expecting the recapitalisation exercise to create stronger and more resilient financial institutions capable of supporting the country’s long-term economic ambitions.
