Zenith Bank Plc says it has met the new N500 billion minimum capital requirement set by the Central Bank of Nigeria (CBN) and is on track to exit all regulatory forbearance arrangements by the end of June.
The bank disclosed through the Nigerian Exchange Ltd. on Tuesday in response to the recent CBN circular (Reference No. BSD/DIR/CON/LAB/018/008) on forbearance related to the Single Obligor Limit (SOL) and other credit exposures.
According to the bank, its exposure under the SOL forbearance applies to a single obligor and is expected to be brought within regulatory limits by June 30.
The bank also clarified that the forbearance granted on other credit facilities pertains to only two customers.
It said that substantial provisions had already been made, and full provision would be completed before the deadline.
“We refer to the recent circular issued by the Central Bank of Nigeria “CBN” (Reference No.BSD/DIR/CON/LAB/018/008) concerning regulatory forbearance in respect of Single Obligor Limit (SOL) and other credit facilities
“Zenith Bank Plc wishes to provide the following clarifications in compliance with the Rulebook of The Exchange, 2015 (Issuers’ Rules)
“The bank has successfully raised and surpassed the new regulatory capital requirement of N500 billion. The bank’s exposure under the SOL forbearance relates solely to a single obligor.
“We are confident that this exposure will be brought within the applicable regulatory limit on or before 30 June 2025. With respect to the forbearance granted on other credit facilities, the bank confirms that this applies to only two (2) customers.
“We have made substantial provisions in respect of these facilities and have taken appropriate and comprehensive steps to ensure full provisioning by 30 June 2025.
“Upon completion, the bank will no longer be under any forbearance arrangements in this regard. The bank expects to have exited all CBN forbearance arrangements by the end of the first half of 2025
“Accordingly, we remain confident that the bank will satisfy all relevant conditions to enable it pay dividend to shareholders in the current year.”
