As a mark of renewed customer confidence in the banking industry, Nigerian banks increased deposits by N21 trillion in the first quarter of 2023, raising banks’ holdings to N136 trillion
The information was contained in audited reports and regulatory filings by commercial banks and their holding firms.
Banks’ customer deposits rise in 2024
Per the reports, the total deposits in the banking sector increased by 63% from N70.5 trillion in 2022 to about N115 trillion in 2023.
Data from the banks to the Nigerian Exchange Limited (NGX) disclosed impressive growth across all tiers of banks, with middle-tier and new banks competing with the first-generation and largest banks.
According to reports, from tier 1 to tier 2, all banks have recorded steady growth, as the report shows.
Zenith Bank’s total customer deposits rose by 69% from N8.98 trillion in 2022 to N15.17 trillion in 2023 to close March 2024 at N16.78 trillion.
Guaranty Trust Holding Company doubled its deposits since 2022 from N4.6 trillion in 2022 to N7.55 trillion and N9.2 trillion in 2023 and the first quarter of 2024, respectively.
United Bank for Africa’s deposits grew from N10.86 trillion in 2022 to N14.9 trillion in 2023, closing at N18.4 trillion in March 2024.
Reports say FMCB has grown deposits steadily from N2.07 trillion in 2022 to N3.4 trillion in 2023 and N3.7 trillion in the first quarter of 2024.
New banks compete strongly
Premium Trust Bank, one of Nigeria’s newest banks, grew its deposit base by 382% from N55 billion in December 2022 to N265 billion in December 2023, closing the first quarter of 2024 at N309 billion.
Fidelity Bank saw its customers’ deposits increase steadily from N258 trillion in 2022 to N4.02 trillion in 2023, closing the first quarter of 2024 at N4.71 trillion.
Access Holdings’ customers’ deposits jumped from N11.3 trillion in 2022 to N19.8 trillion in 2023 and N24.7 trillion in March 2024.
Sterling Holding Financial Company exceeded the N2 trillion mark to N2.15 trillion in the first quarter of 2024 from N1.4 trillion and N1.8 trillion in 2022 and 2023, respectively.
The rise in customers’ deposits made it easier for banks to increase lending to the private sector, especially SMEs, and supported the growth of the Nigerian economy.
