In line with the announcement of the Central Bank of Nigeria (CBN) on the recapitalisation of the Banks to ensure stronger, healthier banks with the required capital support lending and drive economic growth. To this end, the FBN Holdings Plc intends to raise up to N150billion to recapitalise its flagship bank, first Bank of Nigeria Limited. First Bank of Nigeria Limited will also use the funds raised for the following objectives:

Support International business expansion: The devaluation of Naira has significantly affected the competitiveness of the bank’s international operation and ability to engage in larger foreign currency-denominated transactions due to the limitations on its capital adequacy and balance of its risk assets. However, the injection of this new capital will not only bolster the bank’s local presence but also provide an opportunity to enhance its international business operation, alleviating previous constraints imposed by its existing capital base. The bank plans to inject capital into identified opportunities in the international markets space, positioning it for increased growth and expansion to enhance its competitive edge in the global financial landscape. 

To shore up the bank’s Capital for business development and growth: The increase in the bank’s capital will enable it to engage in transactions and seize opportunities across different sectors of the economy. It aims to engage in more substantial lending activities, enabling it to support larger transactions and invest in diverse sectors that were previously not considered, which will result in diversification of the bank’s portfolios and opportunities to tap into new revenue streams, thereby strengthening the bank’s foundation and ability to withstand economic shocks and reducing the risk of insolvency.

Investment in automation and digital banking: The group is positioned to continuously ensure seamless and convenient banking experience for its customers through significant investment in automation and digital technologies via its flagship mobile banking app, FirstMobile, and its internet banking platform, FirstOnline. Through FirstMobile, and the new Lit App, FirstBank has effectively acquired a broad cross-section of the target demography, with a clear proposition of owning bank accounts and utilising various financial services from the comfort of their locations. In line with FirstBank’s commitment to providing customers with the best-in-class electronic banking experience, the Bank plans to upgrade the FirstMobile and FirstOnline with additional services and features while driving customer adoption of the platforms.