Nigeria: Finance and Banking

The Nigerian banking sector is presently undergoing one of the most significant regulatory transformations since the banking consolidation exercise of 2004.

In a bid to align the Nigerian financial market with global standards and strengthen the efficiency of its financial market infrastructure, the Central Bank of Nigeria (CBN), in collaboration...

On April 17, 2026, the Central Bank of Nigeria (CBN) announced the introduction of the Nigerian Overnight Financing Rate (NOFR) in collaboration with the Financial Markets Dealers Association (FMDA).

The age of automated decision-making ("ADM") has arrived in Nigeria. Banks and fintech platforms deploy credit-scoring models to determine lending outcomes, and public institutions increasingly rely on data-driven systems in the exercise of statutory functions.

A loan officer approves a facility for a long-standing customer, a trusted SME owner known for never defaulting. The business seems healthy, projections are strong, and the numbers look promising.

The Central Bank of Nigeria, in collaboration with the Financial Markets Dealers Association, has introduced the Nigerian Overnight Financing Rate (NOFR) as Nigeria's new overnight interbank benchmark.

A ship mortgage is one of the principal instruments through which vessels are financed in international and domestic trade.

Land or property acquisition through mortgages in Nigeria is an attractive option for individuals who prefer to spread payments for the property over time rather than pay the full price up front. A mortgage is a long-term loan secured for the purpose of acquiring land or property. It is a legal arrangement where the property serves as the collateral for the loan, with the lender having the right to enforce or sell the property if the borrower defaults in repaying the loan over the agreed period(s).

When borrowers default on loans in Nigeria's volatile credit market, lenders face a complex web of contractual rights, statutory provisions, and judicial precedents that govern security enforcement.

Nigeria's Securities and Exchange Commission has introduced new capital adequacy rules for fund managers and private capital participants, establishing tiered minimum capital requirements based on assets under management. The guidelines clarify what constitutes qualifying capital, outline compliance pathways including cash injection and securities transfer, and set a June 2027 deadline for full implementation.

The Central Bank of Nigeria has issued an Exposure Draft of Revised Guidelines for Financial Holding Companies, marking the first comprehensive review since 2014. This regulatory update introduces significant changes to governance requirements, capital adequacy standards, ownership structures, and consolidated supervision frameworks.

When a company enters receivership, control typically shifts to the receiver—but what happens when the very basis of that control is challenged?