Jaiz Bank to Raise ₦150 Billion to Match Conventional Banks
By Patience Ikpeme
Shareholders of Jaiz Bank have given their approval for the institution to raise ₦150 billion in new capital, a move aimed at positioning the non-interest lender to compete directly with mainstream commercial banks in Nigeria.
The decision was finalized during the bank’s Annual General Meeting in Abuja. In a media briefing following the session, the Managing Director and Chief Executive Officer of Jaiz Bank, Dr. Haruna Musa, explained that the capital injection will significantly alter the bank’s market standing.
“Jaiz Bank is poised to march the capital of conventional banks,” Dr. Musa stated, pointing to the intended capital expansion.
Detailing the next phases of the fundraising exercise, Dr. Musa indicated that the bank is prepared to transition immediately from corporate approval to regulatory engagement.
“With this resolution of today, I think we move to the next step of approaching the transaction parties and also approaching the regulatory bodies for approval. Once that is secured, I believe it will form possibly maybe two or three tranches more likely,” he said.
The bank executive added that the institution aims for a swift execution window, targeting completion within the current quarter.
“And again, for the time being, we are looking at commencing the process immediately and honestly achieving everything within this quarter. That means for the next quarter of July before the end of September,” Dr. Musa remarked.
Reviewing the bank’s performance for the 2025 financial year, Dr. Musa described the period as one of remarkable growth and strategic progress, despite severe economic pressures facing the wider banking sector.
“Despite a challenging macroeconomic environment characterized by inflationary pressures, exchange rate volatility, and elevated operating costs, the Bank demonstrated resilience, discipline, and strong execution of its strategic objectives,” the Managing Director said.
He noted that the performance validates the growing public preference for alternative banking models, adding that the results show the strength of their business model, the confidence of their customers, and the increasing acceptance of ethical and non-interest banking across Nigeria.
Financial data presented to investors showed substantial balance sheet expansion, with total assets growing by 19 percent from ₦1.08 trillion in 2024 to ₦1.29 trillion in 2025. Customer deposits also experienced a 24 percent increase, climbing from ₦904 billion to ₦1.12 trillion, a change the bank credited to rising public confidence in its service delivery. Concurrently, net risk assets and investments advanced by 27 percent to ₦849 billion from ₦671 billion, reflecting increased financing to productive economic sectors under standard risk controls.
The bank’s profitability followed a similar upward trajectory. Gross earnings increased by 24 percent to reach ₦102.81 billion, up from ₦82.87 billion in the previous year. Profit before tax rose by 28 percent, closing the year at ₦31.24 billion compared to ₦24.44 billion in 2024. Management noted that this growth demonstrates their ability to generate sustainable earnings while remaining faithful to their principles of ethical and value-based banking.
Operational adjustments also contributed to the bottom line, with the bank’s cost-to-income ratio dropping from 60.42 percent to 58.09 percent. This efficiency gain was driven partly by environmental sustainability initiatives, including taking select branches off the national grid to run on solar power, powering automated teller machines via inverters, and introducing electric vehicles into the bank’s operations.
“This reflects our focus on digital transformation, process optimization, disciplined cost management, and improved productivity across the bank,” Dr. Musa said regarding the operational shifts.
On liquidity and stability metrics, the bank’s capital adequacy ratio rose from 23.87 percent to 26.89 percent, providing a larger buffer to absorb potential market shocks and fund future expansions. Its statutory liquidity ratio closed at 43.45 percent, remaining well above standard regulatory minimums.
The 2025 financial year also brought several non-financial milestones, including a corporate rebranding under the slogan “Jaiz Bank – With you for Life,” expanded credit facilities for agriculture and renewable energy, and an upgraded credit rating from GCR to BBB. On the international stage, Jaiz Bank secured a position as the first African institution admitted as a Primary Dealer of the International Islamic Liquidity Management Corporation.
Looking toward the 2026 financial year, the bank’s leadership expressed optimism, stating that management will direct focus toward accelerating digital platforms, widening retail and small-business market penetration, and anchoring corporate stability through the newly approved capital raising programme.
