Banks’ total assets rise 19% to N63trn in 9 months

The total assets of deposit money banks in Nigeria increased 19.04 percent Year-over-Year (Y-o-Y) from N53.1 trillion in the same period of 2021 to N63.2 trillion in the first nine months of this year.Information Guide Nigeria

Zenith Bank Plc, Access Bank, United Bank of Africa (UBA) Plc, GTBank Plc, and First Bank are among the top banks contributing to this growth.

Other financial institutions include Fidelity Bank Plc, Unity Bank Plc, Union Bank of Nigeria (UBN) Plc, Jaiz Bank Plc, Sterling Bank Plc, Stanbic IBTC Holdings Plc, and Wema Bank Plc.

“According to Vanguard’s analysis of the banks’ financial reports, tier-1 banks emerged as the leaders in terms of asset size.

Other Top Stories:

• Buhari mourns late Ohanaeze leader, Obiozor
• Senate rejects Buhari’s request to restructure N22tn loan
• FG battles oil theft, subsidy into New Year
• NIMASA dedicated to economic growth – Goje

Access Bank emerged as the largest bank in terms of total assets, with N13.45 trillion, followed by Zenith Bank with N11.34 trillion, First Bank ranked third with N9.85 trillion, while UBA and GTBank were fourth and fifth with N9.32 trillion and N5.80 trillion, respectively.NYSC portal

In addition, Access Bank’s asset growth rate was the highest with a 29.9 percent increase over the N10.37 trillion projection for 2021, followed by Zenith Bank with a 29.6 percent increase.

Next is Jaiz Bank with a 27 percent growth in assets, followed by Wema Bank with a 24.1 percent gain and Fidelity Bank in fifth position with a 19.5 percent increase.

In the meantime, S&P Global Ratings, a global credit rating agency, had warned that Nigeria banks face the risk of reduced earnings, weaker lending growth, and deteriorating asset quality due to the Central Bank of Nigeria’s (CBN) implementation of monetary policy tightening to combat inflationary pressure.JAMB portal

The agency said in its ‘Banking Industry Country Risk Assessment Update: October 2022’ that excessive tightening has forced banks to make difficult decisions as they seek quality assets to invest in deposit liabilities.

It said: “The increase in the MPR (Monetary Policy Rate) and intervention funds rate suggests that the CBN has not closed the gaps entirely, since banks should still be able to extend credit to priority sectors such as agriculture. That said, credit leverage in the economy remains low with total private sector loans representing only about 3 percent of GDP, despite loan growth averaging close to 20 percent over the past two years.

“Nevertheless, in our view, limited financial intermediation somewhat constrains the central bank’s ability to curb inflation using MPR. Further rate hikes are possible given the gaps between inflation and MPR and will put pressure on banks’ loan portfolios as they pass the full rate increase to retail customers.”JAMB Result

Check JAMB Result

Check and Confirm: How much is Dollar to Naira

📢 We are hiring writers!