Business
FIRSTBANK EXPOSURE TO HERITAGE BANK HAS BEEN SETTLED
The Nigeria Deposit Insurance Corporation (NDIC) yesterday announced the
commencement of the liquidation of the defunct Heritage Bank Plc, following the
revocation of its operating licence by the Central Bank of Nigeria (CBN).
The corporation said the move was in accordance with Section 55 sub-section 1 and 2
of the NDIC Act 2023, adding that depositors of the defunct bank that have alternate
accounts within the industry would be paid up to the insured amount of N5 million per
depositor using their Bank Verification Number (BVN) to locate their alternate account.
In a statement, NDIC Director, Communication and Public Affairs, Bashir Nuhu, said that
the liquidation process was with immediate verification and payment of insured deposits
to the bank depositors.
He said depositors with funds more than N5 million would be paid liquidation dividend
upon realisation of the bank’s assets and recovery of debts owed to Heritage Bank.
The revocation is coming on the revelation that FirstBank’s total exposure to Heritage
bank amounted to about N500 billion.
The CBN under former Central Bank Governor, Godwin Emefiele, got FirstBank to
support Heritage Bank at the level of forbearance, clearing of their checks and
instruments. “This led to their massive indebtedness to FirstBank to the tune of N500
billion,” a source with knowledge of the matter revealed.
THISDAY reliably learned last night that before the announcement of the revocation of
Heritage Bank’s licence was made, CBN paid off First Bank’s exposure to Heritage.
Since its intervention was at the behest of the apex bank under Emefiele.
The NDIC further advised all depositors of the defunct bank without alternate bank
account in the industry to visit the nearest branch of the bank with proof of account
ownership, verifiable means of identification such as driver’s licence, permanent voter’s
card, national identity card, together with their alternate account and BVN for the
verification of their deposits and subsequent payment of insured sums.
Nuhu, also the bank’s creditors to visit the nearest branch of the bank to file their claims
or via the online platform, adding that the process of payment of creditors would
commence immediately after all depositors have been paid.
He also advised debtors that are yet to complete the repayment of loans to contact the
corporation’s Asset Management Department (AMD) or visit the NDIC website for more
details.
The NDIC however, assured the entire banking public of its commitment to the
continued safety of depositors’ funds in all licensed banks.
It therefore, urged depositors to continue their banking businesses without fear as
banks whose licenses have not been revoked remain safe and sound.
The CBN had earlier announced the revocation of the operating licence of the failed
bank with immediate effect.
In a statement issued by CBN acting Director, Corporate Communications, Mrs.
Hakama Sidi Ali, the apex bank said the move was in accordance with its mandate to
promote a sound financial system in Nigeria and in exercise of its powers under Section
12 (1l of the Banks and Other Financial Act (BOFIA) 2020.
The central bank pointed out that the Board and management of the bank had not been
able to improve the bank’s financial performance, a situation which constitutes a threat
to financial stability.
This followed a period during which the CBN engaged with the bank and prescribed
various supervisory steps intended to stem the decline.
Sidi Ali said, “Regrettably, the bank has continued to suffer and has no reasonable
prospects of recovery, thereby making the revocation of the license the next necessary
step.”
Specifically, the CBN said the action became necessary due to the bank’s breach of
Section 12 (1) of BOFIA, 2020.
The CBN acting director further explained that the central bank took the action to
strengthen public confidence in the banking system and ensure that the soundness of
the financial system was not impaired.
She said the NDIC had also been appointed as the liquidator of the distressed bank in
accordance with Section 12 (2) of BOFIA, 2020.
She explained, “We wish to assure the public that the Nigerian financial system remains
on a solid footing.
“The action we are taking today reflects our continued commitment to take all necessary
steps to ensure the safety and soundness of our financial system.”
However, reacting to the licence revocation by the CBN, Founder/Chief Executive
Officer of Proshare Nigeria Limited, Mr. Olufemi Awoyemi, argued that at least four other
banks “are in situations requiring swift CBN intervention; therefore, the #CBN and the
#NDIC will have to shift regulatory/intervention gear sticks to ensure that the banking
system works with minimal disruption.”
He pointed out that the revocation of Heritage Bank’s licence did not come as a
surprise.
“For a bank under forbearance, this was a long time coming (as we recall the number of
reports on same and challenges with similar entities under the same program), given
the numerous follow-ups done by Proshare.
“Neither the CBN nor NDIC took to Proshare’s recommendations; with the wheels now
turning full circle with the CBN’s recent decision to liquidate Heritage Bank, the crackling
of regulatory noise has been tuned up. Therefore, we remain unsurprised and ask why it
took so long for the regulators (CBN and NDIC) to see the merit in the
recommendations proffered,” he added.
According to him, almost five years after, and sequel to the multiple interventions by the
CBN, including its forbearance position, nothing changed.
“Eventually, it would appear that the CBN took the first option we proposed. The action
today compels the need to interrogate the institutional decision-making capacity and
capability in the face of the obvious financial system and organisation shortcomings,”
Awoyemi said.
Also, Head, Financial Institutions Ratings at Agusto & Co, Mr. Ayokunle Olubunmi said,
“Heritage Bank has been struggling for a while now. The bank’s capital has been
persistently below the CBN minimum threshold.
“I believe that the revocation is meant to send a message to the banks that the CBN will
not hesitate to revoke the licence of any bank in breach of the CBN regulations. It could
also sanitise the banking industry to an extent.”
He noted that the revocation could improve confidence in the financial system since the
banks know that their licences could be withdrawn and would have to comply with the
various regulations.
Olubunmi, further stressed that the recent increase in the NDIC coverage would provide
some comfort to depositors.
Also, a banker who pleaded anonymity said the distressed bank had not reported their
financials in five years, adding that he perceived two other banks have negative capital
and bad financials which may go the route of license revocation.
The source said, “Heritage Bank had not produced their financials for years and over
the years there had been various investors that had tried to acquire the bank but once
they did their due diligence they backed out. Things have been so bad that they don’t
have senior staff for certain pertinent positions such as Chief Risk Officer and Treasurer.
So, things have been bad in the bank for a while.”
Culled from ThisDay
FirstBank Makes Home Ownership Possible for Nigerians with Single-Digit Interest Rate Loan
For millions of Nigerians, homeownership has long felt like an ambition deferred. Squeezed by rising property prices, persistent double-digit inflation and high commercial lending rates, the dream of owning a home has remained just that – a dream.
But that narrative is quietly changing. Thanks to FirstBank.
The N1 Trillion Intervention Reshaping Access
In partnership with the Ministry of Finance Incorporated Real Estate Investment Fund (MREIF), FirstBank has unveiled a mortgage opportunity that could redefine access to housing finance in Nigeria.
Backed by the Federal Government’s N1trillion mortgage fund, the initiative is designed to empower Nigerians with affordable, long-term credit to own their homes.
9.75% Interest Rate in a 30% Lending Environment
MREIF is priced at 9.75% per annum, dramatically lower than prevailing commercial loan rates. Eligible Nigerians can access up to N100 million and repay within 20 years. This translates into significantly more manageable monthly repayments and greater long-term financial stability.
Built for Salary Earners, Entrepreneurs and the Diaspora
The MREIF mortgage facility has been structured to be inclusive. It is available to salary account holders, business owners and diaspora customers. Whether you are a young professional aiming to exit the rent cycle, an entrepreneur building generational stability, or you’re a Nigerian abroad looking to secure assets locally, the product opens a pathway that has historically been out of reach for many.
Taking the First Step
For those who have been waiting for the right time, this is definitely it. The question is no longer whether homeownership is possible. The real question is: will you act before the window narrows?
Visit https://www.firstbanknigeria.com/personal/loans/mreif-home-loan/ and in no time you could be the latest homeowner in town.
Alpha Morgan Bank Deepens Presence in Abuja with New Branch in Utako
Marking another milestone in its expansion drive, Alpha Morgan Bank has opened a new branch in Utako, Abuja, reinforcing its strategy of building closer institutional ties within key business communities and bringing its financial expertise closer to individuals, and enterprises driving the city’s growth.
The new branch, located at Plot 1121 Obafemi Awolowo Way, Utako, Abuja is strategically positioned to serve individuals, entrepreneurs, and corporate clients within Utako and surrounding districts.
The expansion follows the Bank’s recently concluded Economic Review Webinar held in February 2026, as the bank continues to position as a thought-leader in the financial services industry.
Speaking on the opening, Ade Buraimo, Managing Director of Alpha Morgan Bank, said the move underscores the Bank’s commitment to accessibility and service excellence.
“Proximity matters in banking. As communities grow and commercial activity expands, financial institutions also evolve to meet customers where they are. The Utako Branch allows us to deliver our services to people in that community efficiently while maintaining the high standards our customers expect,”
The Utako location will provide a full suite of retail and corporate banking services, including account opening, deposits, transfers, business banking solutions, and financial advisory support.
Customers and members of the public are invited to visit the new Utako Branch to experience the Bank’s approach to satisfying banking.
Dangote Refinery Prioritises Domestic Supply Amid Global Energy Turbulence
By George Omagbemi Sylvester | Published by SaharaWeeklyNG
“Nigeria insulated from international fuel shocks as Dangote Petroleum commits to uninterrupted local delivery.”
Dangote Petroleum Refinery and Petrochemicals has reaffirmed its commitment to prioritising the domestic market, pledging to shield Nigerians from the ripple effects of ongoing global energy disruptions. The assurance, delivered in Lagos on 5 March 2026, comes as international refinery operations experience shutdowns or reduced output due to escalating Middle East geopolitical tensions, which have sent crude oil and petroleum product prices soaring worldwide.
“Our mandate remains clear: Nigeria’s local market takes precedence. In times of global supply shocks, we will continue to ensure that domestic availability of petrol, diesel, and kerosene is uninterrupted,” said Mr. Folorunsho Alakija, spokesperson for Dangote Petroleum Refinery.
The refinery’s declaration arrives amid mounting concerns over fuel scarcity, triggered by export restrictions imposed by major international producers, including China, and shipping delays that have further tightened global petroleum supply chains. Industry analysts have hailed the domestic focus as a critical buffer against volatility that could otherwise push Nigeria into deeper energy insecurity.
Domestic Shield Against Global Disruption
Dangote Refinery, Africa’s largest oil processing facility, has leveraged its multi-million-barrel refining capacity to mitigate Nigeria’s historical dependence on imported petroleum products. The company emphasised that prioritising local supply provides a strategic advantage in insulating the nation from international market shocks.
“Our refinery’s scale allows Nigeria to withstand short-term external disruptions. We have the infrastructure and capacity to meet local demand even when global supply chains falter,” explained Mr. Chijioke Okonkwo, Operations Director at Dangote Refinery.
The proactive approach is particularly significant as several international refineries have either reduced throughput or temporarily halted operations, causing a global scarcity of refined products. Experts warn that without domestic cushioning, fuel prices in Nigeria could have surged sharply, exacerbating inflationary pressures in a fragile economy.
Managing Costs While Prioritising Supply
In response to rising procurement costs for crude oil amid the international crisis, Dangote Refinery introduced a modest ₦100 per litre increase in the ex-depot price of Premium Motor Spirit (PMS), absorbing roughly 20 percent of the cost escalation to lessen the impact on consumers.
“We are balancing operational sustainability with affordability. While global prices have risen sharply, we have chosen to absorb a significant portion to protect Nigerian households and businesses,” noted Mr. Emmanuel Adeyemi, Chief Finance Officer.
This pricing strategy underscores the refinery’s dual focus: ensuring uninterrupted supply while cushioning the public from abrupt spikes that could destabilize economic activity. Industry observers have lauded the approach as pragmatic, considering the volatility in international oil markets.
Strategic Distribution Initiatives
Beyond refining, Dangote Petroleum has initiated Compressed Natural Gas (CNG) powered trucks to enhance nationwide distribution efficiency. The initiative seeks to reduce logistics costs and carbon emissions while ensuring a more reliable delivery network to petrol stations across urban and rural areas.
“Logistics is a critical part of the energy supply chain. By deploying CNG-powered trucks, we reduce dependency on expensive diesel, lower delivery costs, and improve supply reliability across the country,” explained Ms. Funke Adedoyin, Head of Logistics Operations.
This strategic move reflects a broader commitment to modernising Nigeria’s petroleum distribution infrastructure, reducing bottlenecks that have historically contributed to scarcity at retail outlets.
Implications for National Energy Security
Nigeria has historically struggled with fuel imports to meet domestic demand, making the country vulnerable to international market fluctuations. Dangote Refinery’s prioritisation of local supply mitigates this vulnerability by leveraging home-grown refining capacity, which allows for timely access to petroleum products and less reliance on foreign shipments.
“With Dangote Refinery leading local prioritisation, Nigeria is less exposed to global fuel shocks. The country is moving towards self-reliance in petroleum product supply,” commented Dr. Halima Suleiman, energy sector analyst.
Experts note that sustained operations at the refinery not only enhance energy security but also preserve foreign exchange, reduce import bills, and stabilise domestic market prices.
Corporate Social Responsibility and Market Stability
The refinery’s commitment is part of a broader corporate responsibility framework. Dangote Petroleum continues to engage with government agencies and regulatory bodies, ensuring that domestic supply is coordinated with Nigeria’s Petroleum Product Pricing and Regulatory Agency (PPPRA) to prevent panic buying and market distortions.
“We are in constant consultation with the government to ensure that our supply strategies align with national economic priorities,” said Mr. Alakija.
Such collaboration helps avert artificial shortages, stabilises pump prices, and maintains confidence in the domestic fuel market. Analysts argue that this approach exemplifies how private sector capabilities can complement governmental policies to enhance national resilience.
Navigating Global Uncertainties
The refinery operates in a complex global environment, where geopolitical crises, shipping constraints, and crude oil volatility can trigger disruptions. Dangote Petroleum’s domestic-first approach positions Nigeria to weather such crises more effectively.
“Global uncertainties are unavoidable, but our infrastructure and strategy ensure that Nigerians remain insulated from immediate shocks,” said Mr. Okonkwo.
This emphasis on resilience aligns with global best practices, where national refining capacity is leveraged to protect local markets from international supply disruptions.
Stakeholder Reactions
The government, civil society, and industry stakeholders have welcomed Dangote Petroleum’s strategy. Officials from the Federal Ministry of Petroleum Resources noted that prioritising local supply aligns with Nigeria’s energy security policies and reduces the burden of foreign exchange expenditures on crude imports.
“Dangote Refinery is demonstrating leadership. Its domestic prioritisation ensures that the Nigerian economy remains insulated during turbulent global markets,” said Dr. Tunji Olumide, Special Adviser on Energy.
Consumers have also expressed cautious optimism. Retail operators and commuters reported steadier fuel availability in Lagos and other cities, though concerns remain about sustained pricing and distribution efficiency.
The Road Ahead
While Dangote Refinery’s strategy provides immediate relief, experts argue that long-term stability requires further investments in alternative energy, diversified refining infrastructure, and strategic reserves. This ensures that Nigeria can withstand global shocks without relying excessively on imports or temporary supply adjustments.
“Short-term measures like prioritising local supply are critical, but long-term energy security demands diversification, renewables adoption, and consistent policy implementation,” said Dr. Suleiman.
The refinery is exploring additional initiatives, including expanding storage capacity, upgrading pipeline networks, and adopting technology-driven monitoring systems to ensure supply continuity across the country.
Final Take
By prioritising domestic fuel supply amid global market turbulence, Dangote Petroleum Refinery and Petrochemicals has demonstrated its role as a stabilising force in Nigeria’s energy sector. Through strategic logistics, modest pricing adjustments, and engagement with government regulators, the refinery is insulating the nation from international shocks while maintaining operational sustainability.
“Our responsibility extends beyond profitability; it’s about ensuring Nigerians have reliable access to essential fuel. We take that mandate seriously,” concluded Mr. Adeyemi.
The refinery’s actions offer a blueprint for how large-scale domestic capacity can protect national economies in times of global energy instability, underscoring the critical intersection of private sector resilience, public policy, and national energy security.
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