Otedola Speaks on Tinubu’s Reforms as First Bank Meets N500bn Recapitalisation

• Femi Otedola has commented on the economic reforms of President Bola Tinubu
• He also commented on the monetary policies of the CBN under Governor Yemi Cardoso
• The businessman disclosed that FirstBank has met the CBN’s N500 billion capital requirement

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Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.

Billionaire businessman Femi Otedola has shared his thoughts on the economic reforms of President Bola Tinubu, as he disclosed that First Bank has met the N500 billion recapitalisation requirement of the Central Bank of Nigeria.

Otedola, in a statement released on Thursday, commended President Tinubu and the CBN governor, Yemi Cardoso, for what he described as bold and necessary economic reforms aimed at stabilising the country and restoring investor confidence.

He said the current phase of reforms under the Tinubu administration warranted recognition, given their long-term implications for Nigeria’s economy.

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First Bank meets N500bn capital requirement

According to the statement published by THE SUN, Otedola disclosed that FirstBank, the commercial banking subsidiary of First HoldCo Plc, has already met the N500 billion minimum capital requirement set by the CBN for an international banking licence.

He added that shareholders of First HoldCo were committed to injecting additional capital into existing subsidiaries and new business ventures.

Otedola said he welcomed the decision to recapitalise the banking sector, noting that while the move initially attracted criticism, it had proven necessary. He said the strong profits recorded by banks in 2024 justified a shift towards prudence and consolidation in 2025.

According to the business tycoon, a stronger banking sector is essential for supporting lending to the real economy and driving meaningful growth in the coming years.

Otedola urges CBN to raise capital requirement to N1tn

Looking ahead, Otedola called for an increase in the minimum capital requirement for international banking licences, proposing a rise from N500 billion to at least N1 trillion.

He argued that an economy aspiring to reach the $1 trillion mark could not depend on weakly capitalised banks.

“Stronger banks mean better governance, broader ownership, and institutions that are not run like personal estates, a problem we have lived with for far too long,” he said.

Otedola hails CBN’s Cardoso

Turning to monetary policy, the businessman praised CBN Governor Yemi Cardoso, describing his leadership as exceptional. He attributed the recent slowdown in inflation to what he called a disciplined return to orthodox monetary policy by the apex bank.

Otedola said the easing inflationary pressure was not theoretical but evident in the gradual relief being felt by households and businesses, stressing that consistency in policy was critical to economic recovery.

He also highlighted reforms in the foreign exchange market, saying they had restored confidence that had been absent for years. According to him, the strengthening of the naira through market-driven forces rather than artificial controls was a key signal of renewed credibility.

The businessman further pointed to Nigeria’s external reserves, which he said had risen to a seven-year high of over $46 billion, as evidence of what he described as the CBN governor’s steady leadership.

He concluded by expressing strong confidence in Cardoso’s leadership, urging him to remain focused on reforms. He said Nigeria was at a turning point and called on stakeholders to continue supporting monetary policies aimed at building a stronger economic foundation.

Otedola sells majority stake in Geregu Power

Legit.ng reported that Otedola sold his entire majority stake of 77% in Geregu Power Plc, which he held through Amperion Power Distribution Company.

The transaction which was valued at N1.088 trillion ($750 million) was financed by a consortium of banks led by Zenith Bank Plc, according to filings with the Nigerian Exchange (NGX) and people familiar with the deal.

Otedola’s ownership stake in the power-generating company was bought by MA’AM Energy Limited, which has since appointed a new board chaired by a sitting senator and former governor of Zamfara state, Abdulaziz Yari.