National Wire About Nigerians, Nigerian Business and Other Stories
Zenith Bank has announced plans to fully exit its regulatory forbearance arrangement with the Central Bank of Nigeria (CBN) by June 30, 2025.
The bank disclosed this in a statement filed Wednesday with the Nigerian Exchange Limited, stating that it has surpassed the new regulatory capital requirement of N500 billion.
According to the bank, its exposure under the Single Obligor Limit (SOL) forbearance relates to a single obligor, and it is confident that this exposure will be brought within the applicable regulatory limit by June 30, 2025.
The bank also confirmed that the forbearance granted on other credit facilities applies to only two customers, for which it has made substantial provisions and taken steps to ensure full provisioning by June 30, 2025.
Upon completion, Zenith Bank will no longer be under any forbearance arrangements. The bank reassured shareholders that it expects to meet the relevant conditions to pay a dividend in the current year.
This development comes as the CBN reiterated its stance on the directive, noting that only a few banks are affected by the measures, which include temporary restrictions on capital distributions such as dividends and bonuses.
The CBN stated that all affected banks have been formally notified and remain under close supervisory engagement.
