Guaranty Trust Holding Company Plc (GTCO) has injected N365.85 billion into its subsidiary, Guaranty Trust Bank Limited (GTBank), to meet the Central Bank of Nigeria’s (CBN) new capital requirements for banks with international authorization. This capital injection was executed through a rights issue involving the issuance of nearly 7 billion ordinary shares of GTBank to GTCO.
As a result of this injection, GTBank’s share capital has risen from N138.186 billion to N504.037 billion, surpassing the CBN’s mandated minimum of N500 billion for internationally licensed commercial banks. The additional equity capital will be deployed by GTBank primarily for branch network expansion, growing its presence across Nigeria and other markets where it operates. It will also be used for asset growth, increasing loans and advances, as well as investment securities portfolio, and fortifying GTBank’s IT systems to support its operations.
This capital injection positions GTBank as a tier-1 bank, alongside Access Bank and Zenith Bank, reinforcing its capacity to meet top-scale lending and strategic expansion in Nigeria’s banking landscape. The CBN’s recapitalization push aims to build a more resilient banking system, with a deadline for compliance set for March 2026. At least eight banks have already met the new requirements, while others continue to explore mergers and acquisitions to remain competitive.
The move is expected to further strengthen GTBank’s position in the .industry and enable it to play a more significant role in driving economic growth and development in Nigeria. With this injection, GTBank is well-positioned to take advantage of new business opportunities and expand its operations both locally and internationally.
Source-The Cable
