CBN Grants JPMorgan Approval-in-Principle to Establish Merchant Bank in Nigeria

The Central Bank of Nigeria (CBN) has granted approval-in-principle to JPMorgan to establish a merchant bank in Nigeria. This move aims to deepen international participation in the country’s financial markets and attract investment, ultimately supporting economic growth. CBN Governor, Mr. Olayemi Cardoso, emphasized the bank's commitment to building a stable, competitive, and internationally connected financial system.

JPMorgan Merchant Bank Nigeria Limited would need to fulfill regulatory requirements and obtain a final banking license before commencing operations. The approval aligns with the CBN's efforts to strengthen financial stability, deepen domestic markets, and restore international confidence in the Nigerian economy.

The bank has cleared Adedapo Adedayo Olagunju for appointment as managing director, and approved Kevin George, Nzelu Chinedum Izunwanne, and Syed Gabriel Murtaza as non-executive directors. Independent non-executive directors include Alade Sarah Omotunde, Ajayi Olukonyinsola, and Adetu Seni.

This approval-in-principle is an initial regulatory clearance, and the proposed bank must complete incorporation with the Corporate Affairs Commission (CAC) and satisfy other conditions before the CBN issues its final license. The CBN reaffirmed its commitment to maintaining a sound and competitive financial system, which is essential for sustainable economic growth and strengthening Nigeria's ties with global financial markets.

The recent banking sector recapitalisation programme has bolstered the industry's capacity, resilience, and competitiveness. The CBN has called for feedback from various stakeholders to identify gaps between the design of monetary and financial sector reforms and their impact on households and enterprises. This dialogue is crucial for building public confidence, correcting misconceptions, and identifying practical challenges facing businesses and households.