Naira depreciation from N500/$ affects dollar value of Nigerian banks’ capital

Despite generating over N1.35 trillion in new capital during the first year of Nigeria’s bank recapitalisation initiative, top-tier banks are facing challenges in competing with their continental counterparts, primarily due to the significant devaluation of the naira.

This is a major insight from a recent report by the financial intelligence platform Proshare, titled “Tier 1 Banks: Getting Bigger, Braver, and Dominant – The Class of 2025.”

Proshare pointed out that the naira’s decline from below N500/US$ in 2023 to around N1,600/US$ in 2025 has substantially eroded the dollar value of Nigerian banks’ capital. To compensate, banks have been raising funds through rights issues, public offerings, private placements, and, in…Read The Full Article/Content Here.