Zenith Bank has revealed its intention to completely exit its regulatory forbearance agreement with the Central Bank of Nigeria by 30th of June, 2025.
This was disclosed in a statement filed on the Nigerian Exchange Limited on Wednesday.
Zenith Bank is one of the lenders affected by the directive of the CBN freezing dividend payment, bonuses and investments in foreign subsidiaries over regulatory forbearance in respect of Single Obligor Limit and other credit facilities.
According to a statement signed by Michael Otu, the Company’s Secretary, the bank said it 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.”
Zenith bank has reassured
shareholders that it would be able to meet the relevant conditions, enabling it to pay a dividend in the current year.
