CBN Grants JP Morgan Approval for Nigeria Merchant Bank

By Samuel Akpan

The Central Bank of Nigeria (CBN) has given JP Morgan approval-in-principle to set up a merchant bank, underscoring rising global confidence in the country’s reforming financial markets.

The proposed JPMorgan Merchant Bank Nigeria Limited must still obtain a final banking licence from the apex bank before it can commence operations, the CBN said in a statement on Friday.

Michael Akuka, director of corporate communications and investor relations, said the nod reflects growing international interest in Nigeria’s financial markets and economic prospects.

“JPMorgan Merchant Bank Nigeria Limited must meet all applicable regulatory requirements, including incorporation with the Corporate Affairs Commission and completion of necessary operational arrangements, before it can be authorised to commence business,” the bank added.

The approval comes amid reforms to strengthen financial stability, improve market confidence and deepen Nigeria’s integration with global capital markets, following the completed banking recapitalisation that boosted system resilience and capacity.

CBN Governor Olayemi Cardoso said the goal is to strengthen financial stability, deepen markets and restore international confidence.

“Our 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.

“We are encouraged by the growing interest of international financial institutions in Nigeria. Our focus remains on sustaining the reforms, strengthening the credibility of our markets and creating an environment in which both domestic and international institutions can participate and thrive,” Cardoso said.

Adedapo Adedayo Olagunju was approved as managing director. Non-executive directors approved are Kevin George, Nzelu Chinedum Izunwanne and Syed Gabriel Murtaza, while Alade Omotunde, Ajayi Olukonyinsola and Adetu Seni were cleared as independent non-executive directors.

The proposed lender can begin operations only after the final licence is issued.

The CBN reaffirmed its commitment to a sound, competitive system that supports sustainable growth and expands Nigeria’s role in global financial markets.

In 2025, JP Morgan planned to upgrade its Lagos representative office into a full business branch for broader African expansion, and on October 20 the US bank deposited ₦50 billion ($38 million) with the CBN.