During the 2025 financial year, only six prominent Nigerian banks rewarded shareholders with a total of N1.27 trillion in dividends. While eleven major lenders reported significant profits, five were blocked from issuing payouts due to strict prudential requirements set by the Central Bank of Nigeria (CBN). These restrictions were largely driven by the need to manage non-performing loans, strengthen capital adequacy, and address the expiration of regulatory forbearance.
The banks cleared to issue dividends included GTCO, which paid N429.830 billion; Zenith Bank, distributing N410.698 billion; Stanbic IBTC, providing N63.607 billion; Ecobank Transnational Incorporated, at $40 million; and FCMB, with N14.969 billion. Collectively, these Tier-1 and specific qualifying lenders represented the majority of the payout volume, with Tier-1 institutions accounting for roughly 81.9% of the total.
Expert analysis from the Chartered Institute of Stockbrokers (CIS) and other financial observers suggests that this disparity is not necessarily a sign of financial failure but rather a conservative strategy to ensure long-term stability. Fiona Ahimie, President of the CIS, noted that banks withholding dividends are focusing on shoring up their balance sheets and meeting recapitalization goals. Furthermore, industry observers like David Adonri and Tajudeen Olayinka emphasized that the CBN’s intervention was a deliberate measure to safeguard depositors and enforce discipline within the financial sector, particularly for banks facing high debt provisioning or regulatory threshold issues.
