By Dipo Olowookere

The national scale long-term issuer rating of BBB+(NG) and the short-term issuer rating of A2(NG) assigned to FCMB Group Plc by GCR Ratings have been placed on review extension.

The rating firm confirmed this development in a notice on Monday, explaining this was due to an ongoing rating process of the financial services provider.

In the statement obtained by Business Post, GCR disclosed that it intends to inform the investing community of “the updated rating results before May 31, 2025.”

As a result, all the ratings of the organisation, including the national scale issue rating of BBB-(NG) on Series 1 N20.7 billion Additional Tier 1 Subordinated Bonds and Series 2 N26.0 billion Additional Tier 1 Subordinated Bonds have been extended.

At the last rating exercise for FCMB in April 2024, GRC affirmed the company’s national scale long and short-term issuer ratings of BBB+(NG) and A2(NG), respectively, with the Rating Watch Negative outlook extended due to the planned recapitalisation of the consolidated FCMB Group Plc.

It was explained that the rating watch negative was assigned the group’s core operating entity, FCMB Limited, which is the bank arm, due to “pressure on the capitalisation from the adverse impact of macroeconomic environment on the loan book.”

“This is balanced against a sound funding structure, good liquidity and competitive position and the planned capital raise of N150 billion in 2024,” it added.

GCR had said if the planned capital raise in the short term materialises, it would support its core capital ratio at 18 per cent over the next 12 months (all else being equal), otherwise, “we would lower the ratings in the near term.”

“Credit migrations to IFRS 9 stage 3 classification are likely because of the weak macroeconomic climate, with the credit loss ratio registering between 3 per cent and 4 per cent and a gradual resolution of the single obligor limit breaches over the next 12-18 months. “While the funding structure remains sound, CBN’s contractionary monetary policy stance could moderate the liquidity position over the outlook horizon,” a statement said.

FCMB Group has its core operations in banking and an increasing presence in non-bank financial services through other subsidiaries.

It had seven direct subsidiaries and four indirect subsidiaries as of December 31, 2023, with a growing franchise across different financial services areas, including banking, consumer finance, investment management and investment banking.

After sparking a national movement with its Zero Transfer Fees campaign, Sterling Bank has once again pushed the boundaries of what corporate citizenship can mean to everyday Nigerians.

Last week, regular Lagosians stepping out after long workdays were met with an unexpected gift: Sterling OneBank-branded buses waiting to take them home, free of charge.

Starting as a push against bank transfer fees, the initiative has now taken to the streets, as the bank began offering free bus rides to customers across major Lagos corridors, a gesture that will continue through May 2025 to ease the return of workers after the May Day holidays.

For a city where a single bus fare can be the difference between feeding a family or not, Sterling’s free ride initiative struck a deep chord. What began with free transfers through its OneBank platform has now evolved into a movement on wheels, connecting digital convenience with real-world survival. In a time of skyrocketing costs, the bank is reaffirming a simple belief: financial freedom should not end at the removal of bank charges, it should move you, carry you, and lift you.

Across Lagos, from Obalende to Ikorodu and TBS to Oshodi, the sight of Sterling buses pulling up to offer free rides sparked moments of disbelief, gratitude, and quiet celebration. For thousands of commuters, it was a tangible reminder that sometimes, the biggest changes come not from slogans, but from small, deliberate acts of care.

“For customers who have to choose between transport fare and groceries, this is more than a ride, it’s hope,” said Chidimma Okoli, Masterbrand Marketing Lead at Sterling. “When we said we were tearing down the barriers to moving your money, we meant it. But we also meant the barriers to moving yourself, to moving your dreams, to moving your life forward.

This isn’t just about banking apps. It’s about freedom, in every sense of the word.”

Mary E., a market trader from Oshodi, stepped off a Sterling bus last Friday and captured the mood perfectly. “This is the first time a bank is not just advertising but acting,” she said, beaming. “I have saved on transfers all month because of OneBank. And today, I saved on my transport. Sterling ehn, dem sharp. Dem dey move.”

Across town, a young professional shared his own experience on LinkedIn: “Every naira matters o. I already saved money on bank transfers using OneBank. Today, Sterling saved me time, money, and stress after a brutal day at work. They just get it.

Another rider, Amaka I., a single mother and hairdresser from Ajah, described the free ride as “a blessing nobody told me was coming.” She added, “We Lagos people work so hard just to move. Today, I didn’t have to count Naira for my bus fare. That is dignity. That is respect.”

Chidimma Okoli emphasized that this initiative was never about fanfare, but about putting philosophy into action. “Financial systems have for too long extracted from Nigerians,” she said. “At Sterling, we are making a different choice. We are giving back, not just in naira and kobo, but in opportunities, in relief and in real dignity.” This initiative builds on Sterling’s history of standing with Nigerians during critical moments.

During the pandemic, Sterling was one of the first banks to support remote work transitions and provide digital lifelines to struggling SMEs. Through programs like AltSchool Africa and entrepreneur bootcamps, Sterling has opened new doors to skills development and affordable financing. After fuel subsidies were removed, the bank financed transport cooperatives to keep mobility alive for thousands who would otherwise have been stranded.

But according to Okoli, what matters now is not history, it’s momentum. “We’re not trying to relive past glories,” she said. “We’re building new victories, alongside the people who trust us every day with their journeys.”

Beneath the buses and smiling faces lies a deeper story of infrastructure strength. Sterling’s robust digital banking backbone, capable of handling over 180 million transactions and scaling rapidly, allows it to absorb costs that many banks would have pushed onto customers. It is this invisible engine that has further helped make visible change possible.

As the month of May approaches, the momentum will continue. Workers returning from the holidays can expect to find the free rides still running across locations, a daily reminder that real banking doesn’t just live in apps but also on the streets, in the choices that make hard lives a little easier.

Sterling is encouraging all riders to share their experiences online, turning thousands of quiet journeys into a loud statement that Nigeria deserves a financial system that carries its people forward, not holds them back. Because true banking is not about hoarding profit; it is about moving lives and moving freely.

By Adedapo Adesanya

The Nigeria Deposit Insurance Corporation (NDIC) has started the payment of N46.6 billion in liquidation dividends to depositors of the defunct Heritage Bank months after a series of delays, a development that has created excitement among customers.

In a statement on Sunday, the Acting Head of Communication and Public Affairs at the corporation, Mrs Hawwau Gambo, noted that the funds were from sales of the bank’s assets and recovery of debts owed.

Mrs Gambo explained that a liquidation dividend is paid to depositors of a closed bank, beyond the maximum insured limit, using proceeds from asset sales and debt recovery, adding that it may also cover payments to creditors and shareholders once all depositors have been fully reimbursed.

The NDIC began payment of the first tranche of liquidation dividends on April 25.

According to Mrs Gambo, the initial dividend is paid at 9.2 kobo per Naira on a pro-rata basis to depositors with balances above N5 million, noting that further payments would be made as more assets of the defunct bank are realised and outstanding debts recovered.

Following the revocation of Heritage Bank’s licence by the Central Bank of Nigeria (CBN) on June 3, 2024, NDIC immediately reimbursed insured deposits up to N5 million.

To ensure a seamless process, NDIC used depositors’ Bank Verification Numbers (BVN) to locate alternate accounts and automatically credit the insured amounts.

The corporation also used existing records from insured payments to disburse the first tranche of liquidation dividends.

“Depositors with balances exceeding N5 million who did not receive their liquidation dividends should visit the nearest NDIC office.

“Depositors without alternative bank accounts, who were not paid the insured amount, should also visit NDIC offices or download forms from www.ndic.gov.ng.

“Depositors must complete and submit a deposit verification form to receive their insured amounts and, where applicable, the first tranche of dividends,” Mrs Gambo said, reiterating the agency’s commitment to ensuring the recovery of assets and the reimbursement of all eligible depositors.