Financial inclusion: 28m Nigerians have no access to banking — CBN

ABOUT 28 million Nigerians – mostly in the rural areas – have no access to banking, the Central Bank of Nigeria (CBN) has said.
The apex bank Deputy Governor, Financial System Stability, Philip Ikeazor, who stated this, added that the CBN and stakeholders have been working tirelessly to reduce the financial exclusion rate.
The demographics mostly affected by this financial exclusion are: women, youths, rural communities and Micro, Small and Medium Enterprises (MSMEs).
According to him, as a result of these efforts, the exclusion rate had dropped from 46.3 per cent in 2010 to 26 per cent as of last year.
He said: “Despite this progress, there are over 28 million Nigerians who still have no access to formal financial products and services and certain challenges persist.”
Ikeazor spoke in Lagos at the ongoing 2nd International Financial Inclusion Conference 2024, with theme: “Inclusive Growth—Harnessing Financial Inclusion for Economic Development”.
The CBN Governor, Olayemi Cardoso, said the ongoing recapitalisation of banks comes with several benefits to the economy.
He said recapitalized banks will take bigger risks by capturing underserved markets into the financial net.
In line with its efforts to deepen financial inclusion, the apex bank introduced new minimum capital requirements for banks, the CBN boss said .
Cardoso added: “This strategic move ensures that banks are well-capitalised, enabling them to take on greater risks, particularly in underserved markets.
“With stronger capital bases, banks can provide more loans and financial products to Micro Small and Medium Enterprises (MSMEs), rural communities, and other vulnerable segments that have previously struggled to access formal financial services”.
The CBN on March 28 announced a two-year bank recapitalisation, which began on April 1 and is expected to end on March 31, 2026.
The recapitalisation plan requires minimum capital of N500 billion, N200 billion and N50 billion for commercial banks with international, national and regional licences .
Cardoso said the recapitalisation policy, not only strengthens financial stability, but also serves as a catalyst for inclusive growth.
“By enabling banks to extend more credit to MSMEs, we enhance job creation and productivity. Furthermore, with increased capital, banks can invest in technology and innovation, crucial for driving digital financial services such as mobile money and agent banking. These technologies are key to breaking down geographic and economic barriers, bringing financial services to even the most remote areas,” he said.
At the event, the CBN launched the Women Financial inclusion Dashboard, Women Entrepreneurs Finance Code and Financial Inclusion of Forcibly Displaced Persons.
The apex bank chief said financial inclusion has the potential to unlock significant economic growth, particularly through the empowerment of small and medium-sized enterprises (SMEs), women and other vulnerable segments of the population.
“SMEs are responsible for over 80 per cent of employment in Nigeria, yet many struggle to access the credit needed for expansion. Financial inclusion for SMEs is essential to unlock the full potential of this sector, and the Nigerian government remains committed to supporting these enterprises,” he added.