Banking
Polaris Bank Battles for Survival Amid Growing Concerns
By Modupe Gbadeyanka
All seems not to be too well with Polaris Bank, the bridge bank set up to take over the assets and liabilities of now defunct Skye Bank Plc.
A new report by National Daily said the lender is fighting a serious battle for survival following customers panic over the sudden demise of Skye Bank.
Business Post reports that despite efforts being made by the management of Polaris Bank to assure its customers that nothing will happen to their money in its care, nobody wants to take the risk of leaving his hard-earned money with the financial institution.
This is because in the past, some people have had to kiss their money goodbye as a result of similar situation and those who were part of the collapsed banks walking on the streets as freemen.
In order not to be caught unawares, some customers of the defunct Skye Bank are reportedly taking their money out of Polaris Bank to safer banks, giving them the opportunity to have sound sleep and have nothing to worry about again for fear of the unknown.
It will be recalled that in a move that took bank customers and even shareholders and other financial industry stakeholders by surprise, the Central Bank of Nigeria (CBN), last month announced the winding up of business activities of the much harried and cash strapped, Skye Bank Plc.
The CBN admitted that as a result of the shaky outlook of the defunct Skye Bank, it had no option than to intervene because results of forensic audit of the bank’s books revealed that it required urgent recapitalisation as it could no longer continue to survive on life support (meaning indefinite liquidity support).
Whereas no one doubts the ability of the regulator to stabilise Polaris and save depositors of the new financial institution, shareholders are still confused as to the implications of what has happened.
It has been argued that the new bank will lose some customers (depositors) who are edgy about their deposits and have lost some trust in the old bank and by extension its successor. They will migrate to other banks.
The challenge of huge non-performing loans hanging over Polaris, industry observers believe cannot be wished away despite the huge amount the CBN has injected in the bank.
Details show that the CBN has injected over N1 trillion into the bank; the over N300 billion when it sacked and replaced its management and the recent intervention of N786 billion.
Meanwhile, industry analysts do not seem comfortable with the new arrangement given the developments of 2009 when the CBN under Sanusi Lamido Sanusi, the current Emir of Kano, Muhammadu Sanusi II.
Lagos based financial analyst and a senior lecturer at the prestigious Lagos Business School (LBS), Dr Adi Bongo, expressed discomfort with the emergence of Polaris Bank, adding that Skye Bank should never have been allowed to acquire Mainstreet Bank which was much bigger than her at that time.
However, Dr Afolabi Olowokere of Financial Derivatives Company limited held a contrary view, arguing that the liquidation option was capable of wrecking the financial system and cause confidence crisis.
‘’Depositors will lose their monies, there will huge job losses and the financial system can crash if the CBN fails to come in the way it did’’, he said.
Recall the bank erstwhile chairman of the collapsed bank, Mr Tunde Ayeni and another director, Mr Festus Fadeyi, had borrowed huge loans from the bank to run other business concerns, which have not been fully repaid.
By Aduragbemi Omiyale
A collaboration to enable fast money transfers into Nigeria has been entered into between Flutterwave and Xoom, PayPal’s international digital money transfer service.
The partnership allows Xoom transfers to be converted by Flutterwave and settled locally in Naira, enabling quick transfers directly into recipients’ bank accounts at Access Bank, UBA, Zenith Bank, First Bank, GTBank, and additional participating banks across Nigeria.
The deal also enables Xoom’s global network with Flutterwave’s local payout infrastructure, allowing users globally to send funds directly into Nigerian bank accounts with improved speed and efficiency.
Nigeria is the leading remittance recipient in Sub-Saharan Africa, receiving over $20 billion in personal remittances in 2024. Despite this volume, receiving international payments has historically remained complex due to FX constraints and settlement delays. This collaboration helps address those challenges in a market of more than 232 million people, where the ICT sector is projected to contribute 21 per cent of GDP by 2027.
By combining Xoom’s expansive reach with Flutterwave’s local compliance and banking partnerships, the two companies are providing a more accessible financial corridor for the continent.
Xoom, a PayPal service, is a fast and secure international digital money transfer service that enables consumers to send money, pay bills, and reload phones for friends and family in approximately 160 markets globally.
As part of PayPal’s global payments ecosystem, Xoom leverages advanced fraud protection, compliance capabilities, and a trusted global network to help millions of customers move money quickly and securely across borders.
“We’re excited to have been chosen by Xoom for their Nigeria expansion. Millions of Nigerians rely on money from abroad to support everyday needs, whether it’s families receiving help from loved ones, freelancers getting paid for their work, or individuals earning income from the global economy. This helps make it easy and more reliable for people in Nigeria to receive funds and stay connected to opportunities beyond borders,” the chief executive of Flutterwave, Mr Olugbenga GB Agboola, stated.
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.
