One of Nigeria’s tier-1 lender, Zenith Bank, earned N291.8 billion from commissions and fees in the 2025 financial year.
The company disclosed this in its financial results for the year, which was released on Tuesday.
Bank fees and commission income include credit-related fees, which comprise advisory, penal, and commitment fees charged for administration and advisory services to customers up to the point of acceptance of offer letters.
Other items under this segment are account maintenance fees (N1 on every N1,000 in respect of all customer-induced debit transactions) and card maintenance fees, charged monthly and valid throughout the card’s period.
What the data is saying
According to the bank’s results, all the fees and commissions received for the year totalled N405.8 billion.
However, the bank said it spent N114 billion to realise the amount, leaving it with N291.8 billion as income.
- A breakdown of the income shows that the bank made the largest amount from account maintenance fees at N91.9 billion.
- The bank’s income from fees on electronic products stood at N89.1 billion, while N29.4 billion was realized from foreign currency transaction fees and commissions.
- Zenith Bank also earned N19.1 billion from foreign withdrawal charges, while income from financial guarantee contracts issued stood at N53.1 billion.
Get up to speed
Last October, an investigative panel of the House of Representatives had summoned the Chief Executive Officers of commercial banks in Nigeria to appear before it over an allegation of illegal and unexplained deductions from customers’ bank accounts.
Speaking during the panel session, Committee Chairman, Rep. Kelechi Nwogu, accused commercial banks of engaging in systematic and unlawful deductions, including charges that are neither transparent nor remitted to the appropriate authorities.
- “Commercial banks are perpetrating illegality by deducting inexplicable charges from civil servants, public servants and other customers’ bank accounts without remittances,” Nwogu said.
He noted that banks routinely deduct a range of charges such as SMS alerts, account maintenance fees, and transfer charges, raising concerns over the legality, transparency, and utilisation of such funds.
Reiterating the committee’s mandate, Nwogu said the investigation would ensure that all deductions imposed by banks are properly authorised, correctly computed, and appropriately utilised.
What you should know
Nairametrics reported that Zenith Bank posted a pre-tax profit of N1.26 trillion for the 2025 financial year, representing a 4.78% decline compared to the previous year.
- Despite the slight dip, performance was supported by strong top-line growth, with interest income rising to N3.6 trillion from N2.7 trillion recorded in the 2024 financial year.
- A closer look shows loans and advances to customers contributed the most at N1.8 trillion, up 20.15%, while treasury bills generated N1.1 trillion in income.
- The group proposed a final dividend of N8.75 per share, up from N4.00, bringing the total FY2025 dividend to N10.00 per share, including the N1.25 interim payout.
