Jaiz Bank says it has successfully listed N10.04 billion from its private placement on the Nigerian Exchange Group (NGX).
The non-interest bank stated via its X page on Wednesday that the development follows regulatory approvals from the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC), and NGX.
The bank added that the milestone places Jaiz Bank among the several banks that have already met the CBN’s revised capital requirements, ahead of the June 2026 deadline.
Jaiz Bank’s financial position
According to the bank’s statement, its financial position remains robust, with a well-structured, diversified, and resilient balance sheet, with total assets currently standing at ₦1.06 trillion, while shareholders’ funds have reached ₦47.9 billion.
- Speaking on the capital-raising exercise, the bank’s Chief Executive Officer, Haruna Musa, (PhD), stated that the achievement underscores the commitment of the bank’s board and management to adding value to customers by providing bespoke ethical finance solutions.
“Jaiz Bank is well-positioned to compete effectively on all fronts, fulfilling customer needs through ethical and innovative financing. Despite a challenging operating environment, we have demonstrated resilience and achieved remarkable growth across financial and non-financial metrics. This positions us firmly on track to becoming the leading ethical bank in Africa,” he stated.
- He promised to continue strengthening relationships with customers while attracting new ones.
- Jaiz Bank stressed that its financial performance metrics highlight its growth and operational efficiency, highlighting that its key financial ratios include a Return on Equity (ROE) of 60.74% and a Return on Assets (ROA) of 2.18%.
What you should know
In early 2024, the CBN increased the capital base for commercial banks with international authorization to N500 billion and national banks to N200 billion.
- The sweeping financial reform announced on Thursday, March 28, 2024, mandated substantial increases in the minimum capital base for banks, varying by the scope of their operations.
- The CBN’s Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, confirmed the policy shift in Abuja, further detailing that national authorization commercial banks need to meet a N200 billion threshold, while those with regional authorization are expected to achieve a N50 billion capital floor.
- Furthermore, non-interest banks with national and regional authorizations will need to bolster their capital to N20 billion and N10 billion, respectively.
- According to the circular, to meet the minimum capital requirements, the CBN urged banks to consider injecting fresh equity capital through private placements, rights issues, and/or offers for subscription; to pursue mergers and acquisitions (M&As); and/or to consider upgrading or downgrading their license authorization.
The CBN also emphasized that all banks are required to meet the minimum capital requirement within 24 months commencing from April 1, 2024, and terminating in 2026.
See breakdown
- Mega Banks (Operate all over Nigeria and internationally) – N500 billion
- Smaller Commercial Banks (Operate all over the country only) – N200 billion
- Regional Banks (Operate in some parts of the country only) – N50 billion
- Merchant Banks – N50 billion
- Non-interest banks (operating all over Nigeria and internationally) – N20 billion
- Non-interest banks (operate in the country only) – N10 billion.
