Foremost financial institution, Union Bank of Nigeria, has reiterated its commitment to providing easy access to capital for Small and Medium-sized Enterprises in the country to boost the growth and profitability of the sector.
This assertion was made at the 2023 edition of the ‘Top 100 Fastest Growing SMEs in Nigeria’ conference recently hosted by Business Day newspaper.
The event, ‘Accelerating growth for SMEs in an era of uncertainty,’ brought together industry experts, small business owners, policymakers, and other stakeholders in the SME sector to evaluate and spotlight the activities of SMEs in Nigeria.
The well-attended conference included different panel sessions with discussions centered on many issues related to the development of SMEs in Nigeria.
Speaking at the Raising Finance for SMEs panel, Gloria Omereonye, Area Business Executive, Union Bank, shared insights on how SMEs can be supported to access finance.
According to her:
“Access to timely and adequate capital is a major need for small businesses. Creating hassle-free, seamless, and technologically innovative processes for SMEs to receive loans is a big relief for businesses looking to develop and grow their enterprises quickly. At Union Bank, we are always keen to collaborate and support entrepreneurs looking to scale up their small ventures.”
Union Bank is pleased to continue to associate with the Business Day 100 SME Conference, a platform that seeks to showcase the contributions of small and medium-sized enterprises crucial to developing the Nigerian economy.
Established in 1917 and listed on the Nigerian Stock Exchange in 1971, Union Bank of Nigeria Plc. is a household name and one of Nigeria’s long-standing and most respected financial institutions. The Bank is a trusted and recognisable brand with an extensive network of over 300 branches across Nigeria.
The Bank currently offers a variety of banking services to both individual and corporate clients, including current, savings and deposit account services, funds transfer, foreign currency domiciliation, loans, overdrafts, equipment leasing and trade finance.
The Bank also offers customers convenient electronic banking channels and products, including Online Banking, Mobile Banking, Debit Cards, ATMs, and POS Systems.
Fidelity, Zenith, Access makes list of most Capitalized Banks in Q3 2023
Leading financial institution, Fidelity Bank, has been listed as one of most capitalized banks in Nigeria based on Q3 2023 financial results.
According to an article published in Thisday newspapers, the bank reported a capital base of N410.75 billion as of September 2023 against N314.3 billion in 2022. Also featuring on the list are Zenith Bank, UBA, First Bank, Access Holdings, First Bank Holdings, Ecobank, GTCO Holdings, Stanbic IBTC Holdings, FCMB and Sterling Financial Holdings.
Following the announcement of the planned recapitalisation of commercial banks by the Central Bank Governor, Dr. Olayemi Cardoso, at the 58th Annual Dinner of the Chartered Institute of Bankers of Nigeria on 24 November 2023, industry watchers have anticipated the announcement of capital raising exercises by banks.
Incidentally, Fidelity Bank had taken the proactive approach by securing shareholders’ nod to raise additional capital earlier in the year. At an Extra-Ordinary General Meeting (EGM) held virtually on Friday, 11 August 2023, the bank’s shareholders unanimously approved a capital raising exercise via a Public Offer for up to 10 billion Ordinary Shares and Rights Issue of up to 3.2 billion Ordinary Shares representing one new share for every 10 shares held to new and existing shareholders respectively.
Below is the list of the 10 most capitalised banks as of September 2023:
• Zenith Bank – N1.92 trillion
The third quarter 2023 financial report of Zenith Bank Plc places the bank at the topmost position in terms of shareholders fund which it put at approximately N1.92trillion, as against N1.31trillion in 2022. The bank also ranks as Nigeria’s highest profit generator so far in 2023, with a pre-tax profit of N505 billion.
This eminent position was corroborated by Nairametrics, an online platform that noted that with a capital adequacy ratio (CAR) of 20.1 per cent as of September 2023, as against 19.8 per cent as of December 2022, the bank’s stability is not in question.
• UBA -N1.778trillion
Following Zenith Bank closely is United Bank for Africa, Nigeria’s second-highest profit generator this year, which is also the second most capitalised bank as of September 2023. The bank posted a total shareholders fund of N1.778 trillion as of Q3, 2023. In 2022, the figure was N922.1 billion, with a capital adequacy ratio of 28.3 per cent, which suggests stable financial health at the end of FY 202
• Access Holdings – N1.64 trillion
Access Holdings is another Tier 1 capital bank with a total equity of N1.64 trillion as opposed to N1.231 trillion in 2022. With this figure, Access Holdings ranks as Nigeria’s third-largest bank in terms of capital base. Its Nigerian subsidiary, Access Bank Nigeria has a total equity of N1.208 trillion as of September 2023, which is a stable figure in case of any recapitalisation exercise.
•First Bank Holdings – N1.37trillion
The ranking in terms of capital base listed FirstBank as the fourth on the list. The Third Quarter 2023 results of First Bank Holdings released in September 2023 showed that the parent company of First Bank Limited has a total equity of N1.37 trillion. However, its commercial banking arm, First Bank Limited has a capital base of N1.287 trillion. In 2022, the holding company posted a capital of 995.7billion.
•Ecobank- N1.37trillion
The bank’s third quarter 2023 performance result submitted to the Exchange last week showed it recorded a shareholders fund of N1.373 trillion as against N935 billion in the same period of 2022, placing it at the fifth position of the most capitalised banks.
• GTCO Holdings – N1.27trillion
GTCO Holdings, the parent group of GTBank has a total equity of N1.273 trillion, a year-to-date increase of 36.7per cent from the N931 billion recorded at the start of 2023.
While GTCO’s total equity is put at N1.27 billion, this is cumulative of all the group’s subsidiaries. However, its Nigerian subsidiary, GT Bank Nigeria holds a total capital base of N1 trillion as of September 2023 which is still a substantial figure ahead of any recapitalisation exercise.
•Stanbic IBTC Holdings – N471billion
Stanbic IBTC Holdings, the Nigerian subsidiary of Standard Bank Group is the parent of Stanbic IBTC Bank and it has a capital base of N471 billion as of September 2023. Its capital was N407.7 billion in 2022.
• Fidelity Bank Plc – N411 billion
With a capital base of N410.75 billion as of September 2023 against N314.3 billion in 2022, Fidelity Bank sits in quite a comfortable place ahead of any recapitalisation exercise for Nigerian banks.
In September 2023, the bank made a foray into international banking by acquiring the UK division of Union Bank of Nigeria.
• FCMB -N373.7billion
With a capital base of N373.7 billion as of September 2023 as against N275.8 billion in 2022, FCMB ranks as the 9th most capitalised bank in Nigeria. With a capital adequacy ratio of 16.0per cent as of December 31, 2022, FCMB’s CAR was just a little above the regulatory 15% required by the CBN.
• Sterling Financial Holdings – N165.84billion
Sterling Bank Limited is a full-service national commercial bank licensed by the Central Bank of Nigeria, and it’s a subsidiary of Sterling Financial Holdings Plc. The bank provides financial services to individuals, small businesses, and large corporations.
Sterling Bank’s capital base stood at N165.84 billion when total liabilities of N2.08 trillion were removed from total assets of N2.25 trillion. Its capital in 2022 was N154 billion.
Polaris Bank pledges support for infrastructure development, housing, education, healthcare, agriculture in Ogun State
Lagos, Nigeria: November 8, 2023 – Polaris Bank, Nigeria’s leading digital retail Bank has pledged to support the development of high-impact sectors including road infrastructure, housing, education, healthcare and agro processing in Ogun State.
The Managing Director/CEO of Polaris Bank, Mr. Adekunle Sonola, stated this while speaking with journalists after he led the Bank’s management team on a courtesy visit to the Ogun State Governor, Prince Dapo Abiodun, in his office at Oke-Mosan, Abeokuta, on Wednesday.
Recognizing the notable achievements of the state administration in infrastructure, education, and agro-processing, Mr. Sonola emphasized Polaris Bank’s willingness to provide support, particularly in financing, to expedite socio-economic development. The meeting focused on various collaborative opportunities in infrastructure, housing, healthcare, education, and agriculture, showcasing the bank’s commitment to complement the government’s efforts in delivering services to the Ogun state people.
Expressing readiness to offer counterpart funding support, Mr. Sonola highlighted Polaris Bank’s innovative products, such as the e-hospital platform, deployed in 11 states, enhancing revenue collection through technology. Describing Ogun State as one of Nigeria’s most progressive states with robust infrastructure, he commended the state’s conducive business environment.
“Governor Abiodun is running one of the most progressive states in the country with a lot of laudable objectives and achievements in the last four years. As Bankers to the community, we are here to show our support and to also see for ourselves the achievements on ground, as well as offer our services for the progress and development of the state,” he stated.
The Polaris Bank CEO noted that the management identified opportunities and areas of collaboration with the Ogun State Government, assuring that in a few months, the people would begin to see the delivery of the projects agreed on at the meeting,
He stated that the meeting with Governor Abiodun centered on a wide range of areas, including infrastructure, housing delivery, healthcare improvement programmes, education, agriculture and other sectors that the bank could be of assistance, as well as the complementary relationship to deliver services to the people.
He said further that Polaris Bank has a long-term presence in the state, including having one of the vibrant and modern bank branches in the state capital, and affirmed that the people of the state would continue to enjoy robust personal banking experience at all times.
Sonola called on investors to take advantage of the enormous potential and the conducive business environment provided by the state government to open their businesses in the Gateway State.
Polaris Bank was adjudged Digital Bank of the Year in 2021 and 2022, 2023 by BusinessDay’s Banks and Other Financial Institutions (BAFI) Awards. And as a digital-forward Bank dedicated to forging a customer-focused future through innovative partnership that reshape both businesses and communities.
The Alternative Bank Delights Customers with Exclusive Seasonal Product
Ahead of the festive period, The Alternative Bank is offering customers an innovative financial product designed to enhance the holiday experience.
This pioneering solution – AltMall, allows individuals to instantly acquire desired items and pay in manageable instalments, freeing up funds for other essential needs.
AltMall provides customers unparalleled flexibility through deferred payment options, promising a seamless and stress-free shopping experience.
In an official statement, Mohammed Yunusa, Head of NIB Digital and Consumer Business at The Alternative Bank, acknowledged the challenging economic conditions and emphasized the bank’s commitment to ensuring that customers can still enjoy the best of the season.
Yunusa stated, “The Alternative Bank recognises the economic challenges that may hinder many people from fully enjoying the festive season. In anticipation of this reality, we are proud to offer our valued customers a unique financial product as a solution.”
“At The Alternative Bank, we understand the significance of family ties, reunions, and other festivities during this time of the year. With AltMall, we aim to provide a respite for our customers, enabling them to continue cherished traditions, regardless of the economic situation,” he added.
AltMall is tailored for the modern consumer, providing access to the platform from the comfort of home or while on the go. Customers can conveniently choose deferred payment options aligned with their financial preferences, allowing them to savour their purchases while effectively managing their finances.
Yunusa highlighted AltMall’s commitment to prioritizing customer convenience, stating, “AltMall gives our customers control over their purchases and payment schedules. Our platform ensures a seamless and user-friendly shopping experience, whether at home or on the move.”
The Alternative Bank, known for its dedication to innovative financial solutions, reaffirms its commitment through AltMall. The product represents a significant step in redefining the intersection of finance and e-commerce, offering a unique shopping experience that combines convenience, variety, and financial flexibility.
As the festive season approaches, The Alternative Bank invites customers to make the most of AltMall, embracing a new way to shop online that aligns with their evolving needs.
