Business

FOR THE FOURTEENTH CONSECUTIVE YEAR, ZENITH BANK RETAINS POSITION AS NUMBER ONE BANK IN NIGERIA BY TIER-1 CAPITAL IN THE 2023 TOP 1000 WORLD BANKS RANKING

Published

1 year ago

July 3, 2023

Zenith Bank Plc has retained its ranking as the Number One Bank in Nigeria by Tier-1 Capital in the 2023 Top 1000 World Banks’ Rankings, published by The Banker Magazine. For the fourteenth year in a row, the Bank has held its position as the number one Tier-1 bank in Nigeria, emerging as the 467th Bank globally with a Tier-1 Capital of $2.54 billion.

The rankings, published in the July 2023 edition of The Banker Magazine of the Financial Times Group, United Kingdom, were based on the 2022 year-end Tier-1 capital of banks globally. The rankings continue to be the primary source for global bank financials and are used by most international organisations in their assessments of banks.

Zenith Bank’s financial performance for the year was bolstered by an impressive double-digit growth of 24% in gross earnings, leading to an improved market share in both the retail and corporate segments of the market. This occurred despite a persistently challenging macroeconomic environment and headwinds.

Commenting on the ranking, the Group Managing Director/CEO of Zenith Bank Plc, Dr Ebenezer Onyeagwu, said, “Being ranked as the Number One Bank in Nigeria by Tier-1 Capital for the fourteenth consecutive year attests to our resilience as an institution despite a very challenging macroeconomic environment and global headwinds. It is also an affirmation of our best-in-class service and commitment to value creation for our highly esteemed customers.” He thanked the Founder and Chairman of Zenith Bank Plc, Jim Ovia, CFR, for his foundational role in building the structures and setting the institution on the path to continued success; the Board for their vision and outstanding leadership; the staff for their unwavering commitment and dedication; and the Bank’s customers for their unflinching loyal support of the Zenith brand.

Tier 1 Capital describes capital adequacy, which is the core measure of a bank’s financial strength from a regulator’s point of view. According to the ranking, Tier 1 Capital, as defined by the latest Bank for International Settlements (BIS) guidelines, includes loss-absorbing capital, i.e., common stock, disclosed reserves, retained earnings, and minority interests in the equity of subsidiaries that are less than wholly owned.

Zenith Bank became one of the latest companies to join the exclusive group of stocks worth over one trillion, as its market capitalisation on the Nigerian Exchange (NGX) crossed the N1 trillion mark in the third week of June 2023. This followed the appreciation of its share price by 3.23% to close at N32 per share, taking its market capitalisation above a trillion to close at N1.004 trillion.

The bank’s track record of excellent performances has continued to earn it numerous awards including being recognised as Bank of the Year (Nigeria) in The Banker’s Bank of the Year Awards 2020 and 2022; Best Bank in Nigeria, for three consecutive years from 2020 to 2022, in the Global Finance World’s Best Banks Awards; Best Commercial Bank, Nigeria 2021 and 2022, in the World Finance Banking Awards; Best Corporate Governance Bank, Nigeria in the World Finance Corporate Governance Awards 2022; Best in Corporate Governance’ Financial Services’ Africa, for four consecutive years from 2020 to 2023, by the Ethical Boardroom; Most Sustainable Bank, Nigeria in the International Banker 2023 Banking Awards; Best Commercial Bank, Nigeria and Best Innovation In Retail Banking, Nigeria in the International Banker 2022 Banking Awards. Also, the bank emerged as the Most Valuable Banking Brand in Nigeria in the Banker Magazine Top 500 Banking Brands 2020 and 2021, and Retail Bank of the year, for three consecutive years from 2020 to 2022, at the BusinessDay Banks and Other Financial Institutions (BAFI) Awards.

Similarly, Zenith Bank was named as Bank of the Decade (People’s Choice) at the ThisDay Awards 2020, Bank of the Year 2021 by Champion Newspaper, Bank of the Year 2022 by New Telegraph Newspaper, and Most Responsible Organisation in Africa 2021 by SERAS Awards.

Business

NCC to Penalize Starlink for Unapproved Subscription Hike

Published

5 days ago

October 8, 2024

Tunde-Olubo Bukunmi

Nigerian Communications Commission (NCC) has revealed plans to sanction Elon Musk’s Starlink for increasing its subscription fees in Nigeria without obtaining the necessary approval from the regulator.

Dr. Reuben Muoka, the NCC’s Director of Public Affairs, confirmed this, explaining that the price hike was not authorized by the Commission.

According to Muoka, Starlink’s actions are in breach of key provisions of the Nigerian Communications Act of 2003, specifically Sections 108 and 111, as well as conditions outlined in its operating license regarding pricing.

“We were surprised that the company announced price changes after submitting a request to the Commission for a price adjustment, which had yet to receive a decision,” Muoka stated.

“The unilateral decision by Starlink to increase their subscription packages is in contravention of the Act and its license conditions.”

He went on to stress that the NCC is prepared to enforce penalties against any licensee whose actions undermine the regulatory framework of the telecommunications sector.

Reports indicate that Starlink raised its subscription costs in Nigeria by 97%, hiking monthly fees from N38,000 to N75,000.

Additionally, the cost of its hardware kits for new users increased by 34%, rising from N440,000 to N590,000.

The company cited “excessive inflation” as the primary reason for these price adjustments.

Meanwhile, local telecom operators, represented by the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON), have been advocating for a review of tariffs in response to inflationary pressures.

They argue that the telecom sector is one of the few industries yet to adjust prices to cope with rising inflation and other economic challenges.

However, both the NCC and the Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, have opposed these calls, urging operators to focus on innovative solutions to combat the impacts of inflation and increased operational costs.

Section 108 of the Nigerian Communications Act gives the NCC the authority to regulate telecom tariffs, specifying that no operator can implement charges without its approval.

Additionally, Section 111 empowers the Commission to impose fines on any operator exceeding approved tariff rates.

Business

CBN Revives Key Economic Reports for Transparency and Growth

Published

2 months ago

August 13, 2024

Ezekiel Tijani

– Purchasing Managers’ Index (PMI) reintroduced

– Business Expectation Survey (BES) and Inflation Expectation Report revived

– Reports to be released periodically on CBN’s website

The Central Bank of Nigeria (CBN) has announced the reintroduction of key economic reports, demonstrating its commitment to transparency and accountability.

This move is part of the CBN’s ongoing data enhancement initiative, aimed at providing stakeholders with timely and accurate insights into Nigeria’s economic performance.

The revived reports include the PMI, which evaluates the health of various sectors, and the business and household expectations reports, offering valuable insights into perceptions and outlooks. These reports are essential tools for understanding the country’s economic climate and fostering informed decision-making.

According to Sidi Ali, Acting Director of Corporate Communications at CBN, “This initiative is part of the Bank’s broader efforts to enhance transparency, promote informed decision-making, and support economic growth.” The reports will be accessible to the public, policymakers, and the business community on the CBN’s website.

The CBN encourages economists, analysts, investors, and the media to utilize these reports to gain a deeper understanding of Nigeria’s economic dynamics. This will foster a more inclusive economic discourse and promote economic growth.