The Central Bank of Nigeria (CBN) has granted Approval in Principle to JPMorgan to establish a merchant bank in Nigeria to be known as JPMorgan Merchant Bank Nigeria Limited.
The announcement was made in Abuja with Director of Corporate Communications and Investor Relations Department Michael Akuka saying development comes amid sustained reforms aimed at strengthening financial stability, improving market confidence and deepening Nigeria integration with global capital markets.
He said approval signals growing international confidence in Nigeria financial sector reforms and follows successful banking sector recapitalisation exercise.
He noted that the proposed establishment of a merchant bank by one of the world’s leading financial institutions marks significant development for Nigeria’s financial sector, reflecting growing international interest in the country’s financial markets and long term economic prospects.
He said development comes against the backdrop of CBN’s broader reform agenda under Governor Olayemi Cardoso focused on strengthening financial stability, deepening financial markets and rebuilding international confidence in Nigeria’s financial system.
Speaking on broader reform priorities, Governor Cardoso said the objective is to build a financial system that is stable, competitive and internationally connected, one that commands confidence and can effectively support investment and economic growth.
He said the Bank is encouraged by growing interest of international financial institutions in Nigeria, adding that focus remains on sustaining reforms, strengthening credibility of markets and creating an environment in which both domestic and international institutions can participate and thrive.
Akuka clarified that Approval in Principle represents the first stage of regulatory approval process and does not constitute final banking licence, noting that JPMorgan Merchant Bank Nigeria Limited must fulfil all applicable regulatory requirements including incorporation with Corporate Affairs Commission and completion of necessary operational and regulatory arrangements before receiving authorisation to commence business.
CBN has approved the nomination of Mr Adedapo Adedayo Olagunju as Managing Director of the proposed bank.
Bank also approved Latter Kevin George, Nzelu Chinedum Izunwanne and Syed Gabriel Murtaza as Non Executive Directors while Alade Sarah Omotunde, Ajayi Olukonyinsola and Adetu Seni were approved as Independent Non Executive Directors.
The proposed bank may commence operations only upon CBN issuing the final licence.
CBN reaffirmed commitment to maintaining a sound, competitive and internationally connected financial system that supports sustainable economic growth and expands Nigeria participation in global financial markets.
