Proposed merger between Unity Bank Plc and Providus Bank Limited has crossed a major regulatory milestone, exceeding the N200 billion minimum capital requirement set by the Central Bank of Nigeria for a national banking licence.
In a statement released on Wednesday, February 18, 2026, Unity Bank confirmed that the combined capital base of the two lenders now surpasses the recapitalisation threshold.
According to the statement, the strengthened capital position reinforces the enlarged institution’s financial stability and long-term competitiveness in Nigeria’s evolving banking landscape.
The merger process has steadily gained regulatory and shareholder support. In September 2025, shareholders of both institutions formally approved the scheme of merger at a court-ordered meeting, paving the way for the business combination.
The apex bank had earlier signalled its backing for the transaction, providing financial accommodation to facilitate the process, according to a Punch report.
In addition, the Securities and Exchange Commission issued a “no objection” approval, alongside other relevant authorities.
With integration activities already underway, the final court sanction is now expected to conclude the merger process. Once granted, it will mark the formal completion of the transaction.
Commenting on the development, Managing Director and Chief Executive Officer of Unity Bank, Ebenezer Kolawole, described the achievement as a defining moment for the institution.
He noted that surpassing the N200 billion capital benchmark underscores the bank’s commitment to building a more resilient and future-ready financial institution.
According to him, the merger significantly enhances the bank’s capital base, operational capacity and strategic positioning within the industry.
TheCable reported that he added that the combined entity would be better equipped to deliver innovative financial solutions and support economic growth across Nigeria.
When finalised, the Unity–Providus merger is projected to create a stronger and more customer-focused institution with greater scale and reach.
The enlarged bank is expected to deepen its footprint in retail and small and medium-sized enterprise banking, segments widely regarded as critical to Nigeria’s economic expansion.
By consolidating resources, technology and expertise, the combined institution aims to improve service delivery, expand product offerings and strengthen risk management under the recapitalisation framework introduced by the apex bank.
Industry observers see the transaction as part of a broader consolidation trend in Nigeria’s banking sector, driven by stricter capital requirements and the need for stronger balance sheets.
With its capital now above the regulatory threshold and final court approval in sight, the Unity–Providus merger appears firmly on track to reshape both institutions into a more competitive force in the national banking space.
The Nigerian Exchange ,NGX, Banking Index started 2026 on a strong note, rising more than 10% year-to-date, a signal that interest in Nigerian financial stocks remains robust amid broader market optimism.
These gains reflect not just a rebound from previous regulatory headwinds but also a rapid reshaping of the banking sector into a more resilient, digital, and strategically positioned group of institutions.
