Banking
First Bank Restructures 15% of N1.8trn Loans as NPL Falls to 8.8%
By Dipo Olowookere
In the first six months of 2020, FBN Holdings Plc said it restructured 15 per cent of its total loan size of N1.8 trillion to minimise vulnerability.
The company made this disclosure at an analyst’ call on Monday, adding that it now has limited exposure to sectors mostly affected by COVID-19.
During the call also witnessed by Business Post, the company, which promised to increase its loans to the real sector of the economy, stated that in the first three months of this year, it restructured 6.0 per cent of its lending to customers.
The year 2020 has been under the control of coronavirus disease, causing many businesses to shut down or reduce their workforce, while the global economy has not been spared.
In Nigeria, some businesses are finding it hard to pick up and to make things easier for them, the Central Bank of Nigeria (CBN) has allowed those who borrowed from banks to restructure their repayment plans.
In June 2020, Business Post reported that 32.94 per cent of the total loan portfolio of the banking industry in Nigeria may good bad with borrowers unable to repay the credit facilities as at when due.
At a Monetary Policy Committee (MPC) meeting of the CBN, the Deputy Governor of the bank in charge of Financial System Surveillance, Ms Aisha Ahmed, had raised an alarm that 17 banks had submitted requests to restructure about 32,000 loans amounting to several billions of Naira going bad because of the current situation, noting that the non-performing loans (NPLs) ratio stood at 6.6 per cent at end April 2020, compared with 11.0 per cent at end April 2019.
“As at end-May 2020, staff reports indicate that 17 banks submitted requests to restructure over 32 thousand loans for individuals and businesses impacted by the pandemic, representing 32.94 per cent of the total industry loan portfolio, with the manufacturing and general commerce sectors constituting the bulk of the restructured facilities,” she had said.
During yesterday’s conference call, First Bank said it was actively pursuing recoveries on loans written-off, noting that it was also rebalancing its loan portfolio by extending advances to the real sectors of the economy such as manufacturing, trade, retail/consumer and Agric & Agro-allied sectors, including telecommunications.
At the moment, 19.8 per cent of the lender’s total loan book of N1.759 trillion is in the manufacturing sector (versus 16.5 per cent in H1 2019), while the oil/gas upstream has 17.2 per cent (17.9 in H1’19), with oil/gas downstream controlling 8.7 per cent (8.6 per cent in H1 2019) and oil/gas services having 7.9 per cent (7.8 per cent in H1 2019).
Further analysis of the First Bank’s N1.8 trillion loans showed that 51.0 per cent are in local currencies, while 49.0 per cent account for foreign currencies; though the firm said it plans to increase local lending.
It was also observed that 50.4 per cent of the loans are maturing in one year, while those maturing between 1 and 3 years account for 28.0 per cent, with 3 to 5 years accounting for 6.4 per cent and above five years accounting for 15.2 per cent.
In the first half of the year, First Bank has reduced its NPL ratio to 8.8 per cent from 9.9 per cent it was in the 2019 full year.
A breakdown showed that much of the NPLs are in the agriculture sector, accounting for 14.8 per cent. The manufacturing segment has an NPL of 4.4 per cent, real estate has 11.2 per cent, oil/gas upstream has 6.0 per cent, oil/gas downstream controls 5.5 per cent, while others have 11.3 per cent.
By Aduragbemi Omiyale
An initiative known as Nigeria Lightning Rounds, designed to expand funding opportunities for Nigerian startups and small businesses by connecting founders with local and international investors, has been launched by ProvidusUnity Bank, in partnership with US-based global venture firm and accelerator, gener8tor.
Scheduled to be held on July 15, 2026, Nigeria Lightning Rounds will feature carefully selected startups engaging with targeted investors who have expressed interest in supporting Nigerian innovation.
Participating founders will have the opportunity to pitch their businesses through focused 15-minute virtual sessions facilitated by gener8tor and ProvidusUnity Bank’s networks.
The program will focus on high-growth sectors including fintech, healthtech, manufacturing, sustainability, and AI, but welcomes SMEs from all industries, with intending participants urged to apply via https://www.gener8tor.com/lightning-rounds/nigeria.
“We recognise that access to capital remains one of the biggest challenges facing entrepreneurs in Nigeria. Through our partnership with gener8tor, we are creating a platform that connects promising Nigerian founders with investors who can provide the support required to scale their businesses,” the Head of Business Development at ProvidusUnity Bank, Mr Ernest Elue, stated.
“The partnership reinforces ProvidusUnity Bank’s commitment to strengthening Nigeria’s entrepreneurial ecosystem by supporting innovation, enabling access to opportunities, and creating pathways for businesses with high-growth potential,” he added.
Also commenting, the Director of Lightning Rounds at gener8tor, Ms Elizabeth Larios, said, “gener8tor is thrilled to partner with ProvidusUnity Bank to extend the Lightning Rounds model into Nigeria.
“This collaboration reflects our commitment to building equitable ecosystems and driving capital to the most promising and underrepresented entrepreneurs.”
Lightning Rounds are a signature initiative of gener8tor’s investment platform, which has facilitated thousands of investor-startup meetings globally. The format is optimised to eliminate friction, reduce bias in early-stage fundraising, and help founders secure capital from investors aligned with their mission and stage. gener8tor’s previous Lightning Rounds for Nigerian Founders in 2025 featured 18 participating Investors and led to 50 investment meetings facilitated.
By Modupe Gbadeyanka
The verification of the depositors of the 46 microfinance banks, whose operating licenses were revoked by the Central Bank of Nigeria (CBN) over a week ago, has commenced.
The exercise, aimed at refunding those whose funds were trapped in the small lenders, is being conducted by the Nigeria Deposit Insurance Corporation (NDIC).
In a statement on Thursday, the agency said its staff members have been positioned at the offices of the affected banks across the country to attend to depositors.
It was disclosed that depositors of the defunct banks, who had their Bank Verification Numbers (BVNs) linked to their accounts in the failed banks, will be paid through their alternative accounts in existing banks.
However, depositors whose BVNs were not linked to their accounts in the failed banks have been encouraged to visit the affected banks’ offices with proof of account ownership, a passport photograph, verifiable means of identification (Driver’s Licence, Permanent Voter’s Card, International Passport or National ID Card) and BVN.
NDIC also stated that depositors can alternatively file their claims online through its website: www.ndic.gov.ng, to complete the Pre-Verification Claims Form by clicking on the Search Bar, and typing Pre-Verification Claims Form; opening the Form and filling in their details. They can also do so by clicking the link: https://ndic.gov.ng/ndic-pre-verification-claims-form/ or by visiting any of the NDIC offices closest to them to file their claims.
For further enquiries, the corporation can be reached on any of the following lines: 09037273810, 09038197064, 08104220807, 09064657140.
By Adedapo Adesanya
Nigeria’s Bank Verification Number (BVN) enrolment has slowed significantly in 2026 following the introduction of a stricter regulatory framework by the Central Bank of Nigeria (CBN), with the latest data from the Nigeria Inter-Bank Settlement System (NIBSS) showing that registrations are on course to fall well below last year’s record.
The BVN database stood at 69.55 million as of July 5, 2026, up from 69.32 million in June, indicating that only 228,947 new registrations were recorded over the period. Since the end of 2025, when the database stood at 67.8 million, total enrolments have increased by 1.75 million.
At the current pace, however, BVN registrations are unlikely to match the 4.3 million new enrolments recorded in 2025, suggesting a sharp deceleration in growth this year.
The slowdown comes after the CBN introduced a revised BVN regulatory framework in March, with the new rules taking effect on May 1, 2026. The framework tightened controls around enrolment, identity verification and fraud monitoring as part of efforts to strengthen the integrity of the banking system.
Among the key changes was the introduction of a minimum enrolment age of 18 years, effectively preventing minors from registering for a BVN.
The new framework also limits customers to a one-time change of the phone number linked to their BVN and requires financial institutions to place BVNs linked to suspected fraudulent transactions on a temporary watch-list for up to 24 hours while investigations are carried out.
The stricter rules contrast with last year’s surge in registrations, which was largely driven by the introduction of the Non-Resident Bank Verification Number (NRBVN) initiative that enabled Nigerians in the diaspora to complete BVN enrolment remotely, removing physical barriers and expanding access to the financial system.
Launched on February 14, 2014, the BVN scheme was introduced by the CBN in collaboration with the Bankers’ Committee, NIBSS and German technology firm Dermalog to assign every bank customer a unique biometric identity that can be verified across Nigeria’s banking industry.
