Banks More Resilient After Recapitalisation – UBA MD

The chairman of the Body of Banks’ CEOs and group managing director of United Bank for Africa, Oliver Alawuba, has said Nigerian banks are now stronger and more resilient following the recent recapitalisation exercise undertaken in the industry.

Alawuba speaking at the investiture ceremony of the 24th President and Chairman of Council of the Chartered Institute of Bankers of Nigeria, Dele Alabi, noted that the banking industry was at a defining moment following the successful recapitalisation programme, which he said had significantly strengthened the sector.

He, however, cautioned that the sector still faces growing challenges, including digital disruption, cybersecurity threats, evolving regulatory demands, talent migration and rising consumer protection expectations.

“Dr Alabi assumes office at a defining moment for our industry, following the successful recapitalisation exercise that has made Nigerian banks stronger and more resilient than ever before,” Alawuba said.
“In this environment, the role of the CIBN is more critical than ever,” he said, adding that the institute must continue to champion ethics, professionalism, innovation and capacity building across the industry.

Alawuba, expressed confidence in Alabi’s ability to consolidate previous reforms and position the institute as a strategic partner in the transformation of Nigeria’s financial system.

“We are handing over this respected institution to Dr Alabi and his team because we believe in their competence and leadership capacity,” he added.

He further assured that the Body of Banks’ CEOs would continue to support the institute in strengthening professionalism and sustaining public trust in the banking sector.

In his acceptance speech, Alabi unveiled a reform-driven agenda focused on ethics, innovation, skills development and financial inclusion as the banking sector grapples with rapid technological changes and macroeconomic pressures.

He observed that the financial services industry was being reshaped by digital disruption, changing customer expectations, tighter regulations and economic volatility, stressing that the institute must take the lead in shaping the future of banking and finance.

“The banking and financial services landscape, both globally and within our country, is undergoing profound transformation,” Alabi said.

The new CIBN president disclosed that his administration would pursue a six-pillar agenda under the acronym “IMPACT”, representing Inclusion, Membership Economy, Professionalism and Ethical Conduct, Accountability and Enhanced Financial Performance, Competencies and Skills Development, as well as Technology, Automation and Innovation.

According to him, the agenda is aimed at consolidating the institute’s relevance locally while enhancing its global standing as a professional banking body.

Speaking on the economy, Alabi said inflationary pressures and tight financing conditions were still constraining private sector growth despite the recent moderation in monetary policy.

“Inflation remains elevated, monetary policy is tight despite the modest reduction in the MPR by 50 basis points from 27 per cent to 26.5 per cent in February 2026, while stringent financing conditions continue to constrain private sector activity,” he stated.

He, however, noted that recent foreign exchange reforms had improved transparency and price discovery in the market.

On banking recapitalisation, Alabi said the success of the exercise would ultimately depend on how effectively banks channel the additional capital into productive sectors of the economy.

“The ultimate success will be measured by the extent to which banks translate this enhanced capacity into increased lending to productive sectors, deeper financial inclusion, and sustained economic transformation,” he said.