The last time Nigeria’s banking sector experienced a crisis, in 2009, the government was forced to intervene to support distressed lenders. With poor risk management frameworks in place, most banks took a hit as the global financial crisis burst the country’s years-long growth bubble. Reforms introduced by the Central Bank of Nigeria in subsequent years have strengthened the sector and left most of Nigeria’s banks in excellent shape.
But it is the country’s largest and most systemically important banks that stand apart. Not only do they surpass regulatory requirements in terms of their capital and liquidity positions, but most have posted strong growth numbers in recent years.
