Fourteen Nigerian banks have fully met the new capital requirement under the ongoing recapitalisation exercise, underscoring the resilience of the country’s banking sector, Central Bank of Nigeria (CBN) Governor Olayemi Cardoso said on Tuesday, at a Monetary Policy Committee briefing in Abuja.

The recapitalisation has bolstered banks’ capacity to support lending and economic growth, he noted, contributing to broader recovery efforts as headline inflation eased to 20.12 per cent in August 2025 from 21.88 per cent in July. The Monetary Policy Committee recently cut the benchmark rate by 50 basis points to 27 per cent to support economic activity.

Despite these positive developments, Cardoso cautioned that rising excess liquidity in the system—largely driven by fiscal releases and improved revenue inflows—could threaten macroeconomic stability if not carefully managed. “While the sector remains strong, we will continue to deploy measures to ensure that excess liquidity does not undermine macroeconomic stability, and to maintain transparency, promote effective risk management, and support long-term growth and confidence in our banking system,” he said.

The governor stressed that a stable banking system is essential for sustaining investor confidence, fostering transparency, and supporting long-term financial stability.