‘Fidelity Bank’s N10.5trn Asset Base Enhances Investor Confidence’

Fidelity Bank Plc has boosted its asset base by N1.63 trillion over a three-month period, reinforcing its status as one of Nigeria’s top seven banks in terms of assets.

Recent filings approved by the Central Bank of Nigeria (CBN), the Securities and Exchange Commission (SEC), and the Nigerian Exchange (NGX) highlight Fidelity Bank as one of the fastest-growing and most robust banks in Nigeria, with a notable rise in total assets from N8.82 trillion on December 31, 2024, to N10.45 trillion by March 31, 2025.

This growth reflects the bank’s solid reputation among customers, demonstrated by double-digit increases in customer deposits, which reached N6.6 trillion in the first quarter of 2025, up from N5.94 trillion in December 2024. A significant contributor to this growth was the surge in low-cost deposits, which totaled N6.1 trillion, making up 92.2 percent of total customer deposits.

The bank’s shareholders’ funds also saw a healthy increase from N897.87 billion in December 2024 to N933.14 billion by March 2025, primarily driven by enhanced profitability.

Investment experts attributed the positive sentiment from investors to Fidelity Bank’s strong asset base and profitability, noting that a dual focus on assets and profitability is essential for a bank’s sustainability.
Research from the International Monetary Fund (IMF) has underscored the importance of banks maintaining strong balance sheets.

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The findings emphasized that banks relying on market funding and exhibiting lower structural liquidity reduced credit supply more than others. Consequently, better-quality capital was identified as a factor that could mitigate such effects, reinforcing the notion that strong balance sheets are crucial for facilitating credit recovery post-crisis, aligning with regulatory proposals like the Basel III framework.

Fidelity Bank has emerged as a highly attractive option in the stock market, significantly outperforming not just the overall market but also the banking sector.

At the beginning of this week, Fidelity Bank’s share price reflected a year-to-date return of 18.86 percent, significantly higher than the banking sector’s average return of 8.24 percent and the broader market’s 6.59 percent gain.

Analysts detailed that Fidelity Bank, recognized for its active participation in the stock market, is experiencing strong positive sentiment from both existing and potential investors.

A report from the NGX indicated that “a senior director at the bank had purchased shares worth more than N366 million, a strategic move that enhances the director’s equity stake in the institution. As the most actively traded stock on May 20, 2025, Fidelity Bank showcases the confidence investors have in its direction.”

Fidelity Bank’s pre-tax profit soared by an impressive 167.8 percent to N106 billion in the first quarter of this year, placing it on a solid growth trajectory.

Preliminary reports for the first quarter ending March 31, 2025, indicate profit before tax increased from N39.5 billion in the same period the previous year to N105.8 billion this year. Furthermore, gross earnings surged by 64.2 per cent, reaching N315.4 billion for the first quarter of 2025, compared to N192.1 billion in the first quarter of 2024.

This growth in interest income was propelled by a 38.6 percent expansion in the earning assets base, while non-interest revenue experienced a boost from income related to foreign exchange, trade, and banking service commissions, among other factors.