E-Financial
Zenith Bank, 6 Others Rake in N244Bn in Fees, Commissions
Some 7 deposit money banks (DMBs) have reportedly raked in a total of N244.15 billion as fees and commission income in the first six months of this year.
This is against the N208.38 billion that the lenders reported for the corresponding period of 2017.
Newtelegraph reported that generally, Nigerian banks derive their fees and commission income from account maintenance fees, Automated Teller Machine (ATM) charges, fees from other electronic banking channels, letters of credit commission, remittances fees, card-based fees, fees from brokerage commission and financial advisory fees, among others.
The seven lenders’ H1 2018 results reviewed by Newtelegraph were those of Ecobank Transnational Incorporated (ETI), FBN Holdings (First Bank of Nigeria Limited), Zenith Bank and Guaranty Trust Bank (GTB).
Others are mid-sized DMBs – Stanbic IBTC, First City Monument Bank (FCMB) and Diamond Bank. Specifically, ETI’s H1 2018 results show that its net fees and commission income increased by 11.30 per cent to N67.12 billion in the period under review, from N60.3 billion in the comparative period of last year.
The pan-African lender was followed by Zenith Bank, which reported that its fees and commission income rose by 23.72 per cent in the first half of this year, to N46.71 billion, from N37.75 billion reported for the comparative period in 2017.
Stanbic IBTC recorded a 32.30 per cent increase in fees and commission income to N37.14 billion in the first half of 2018 from N28.807 billion it reported in the corresponding period of last year.
First Bank of Nigeria also reported growth in its fees and commission income for H1 2018 as the Tier 1 lender reportedly earned N35.05 billion for the period, which represents a 13.59 per cent increase over the N30.86 billion it posted for the comparative period last year.
Similarly, another Tier 1 bank, GTB, reported a 13.89 per cent increase in its fees and commission income for H1 2018 to N25.910 billion from N22.749 billion in the corresponding period of 2017.
FCMB and Diamond Bank also posted higher figures of fees and commission income for H1 2018 compared with what they reported last year.
However, while FCMB recorded a 37.47 per cent increase to N13.011 billion from N9.466 billion, Diamond Bank’s went up by N24 million to N19.208 billion from N19.184 billion in 2017.
Significantly, a review of these lenders’ 2017 full year results also show remarkable growth in their fees and commission income for last year compared with 2016.
Thus, ETI again recorded the highest fees and commission of N143.799 billion in 2017, up from the N124.759 billion it made the previous year. Zenith Bank posted fees and commission income of N90.143 billion in 2017 compared with the N68.444 billion the previous year.
FBN Holdings reported fees and commission income of N74.453 billion in 2017 higher than the N71.360 billion it recorded in 2016. Also, Stanbic IBTC reported net fees and commission of N59.089 billion in 2017, up from N52.154 billion the previous year; GTBank posted N42.922 billion as fees and commission income in 2017, up from the N39.403 billion it attained in 2016; FCMB reported fees and commission income of N21.630 billion, higher than N17.683 billion in 2016 while Diamond Bank earned N37.068 billion from fees and commission last year compared with the N41.432 billion it got the previous year. Interestingly, while DMBs are raking in billions in fees and commission income and using it to make up for the loss of revenue due to declining Treasury bill yields, the development is making bank customers very unhappy.
The bank customers accuse DMBs of frequently deducting illegal and excess charges from their accounts even when they (customers) never carried out such transactions. In fact, a bank fee that customers are particularly angry about is the reintroduced Commission on Turnover (CoT) fee now known as Current Account Maintenance (CAM) fee.
The Central Bank of Nigeria (CBN) had, in 2013, commenced the phased reduction of CoT, which terminated with the zero CoT charge in 2016. But in a circular to banks that year, the apex bank replaced the CoT with CAM, but subject to a maximum of N1 per N1,000 mille. However, financial analysts point out that many bank customers usually do not thoroughly scrutinise their account statements, thus giving DMBs the opportunity to make illegal deductions from such accounts.
Fidelity Bank Plc, one of Nigeria’s leading Tier-1 financial institutions, has announced a remarkable financial performance for the first quarter of 2025, recording a Profit Before Tax (PBT) of N105.8 billion, representing an impressive growth of 167.8% compared to N39.5 billion in Q1 2024.
Mrs. Nneka Onyeali-Ikpe, MD/CEO, Fidelity Bank Plc
The bank’s unaudited financial statements, released on the Nigerian Exchange (NGX) on April 30, 2025, highlight a substantial increase in Gross Earnings, which rose to N315.4 billion, marking a year-on-year growth of 64.2% from N192.1 billion in the same period last year.
Growth in interest income was primarily led by 38.6% yoy (7.4% ytd) expansion in earning assets base, while the increase in non -interest revenue came from FX-related income, trade and commission on banking services, etc., supported by increased customer transactions.
Commenting on the bank’s performance, Dr. Nneka Onyeali-Ikpe,OON, Managing Director/Chief Executive Officer of Fidelity Bank Plc, stated, “We started the year with triple-digit growth in profit and sustained the momentum in our earning assets growth.
This performance shows the resilience of our business model and reinforces our confidence in delivering a better result in the 2025 financial year.”
Other areas of the unaudited financial statements, equally show a marked improvement with Total Deposits growing by 11.1% ytd to N6.6tn from N5.9tn in December 2024, driven by 10.6% ytd growth in low-cost deposits to N6.1tn, which represents 92.2% of total customer deposits. Local currency deposits increased by 2.0% ytd while foreign currency deposits increased by 21.4% from $1.9bn in December 2024 to $2.3bn.
Net Loans and Advances increased by 5.0% ytd to N4.6tn. The growth in the bank’s Loan Book was skewed to LCY Loans as cost of risk declined to 0.6% from 1.5% in 2024FY.
“Beginning the year with such positive momentum reinforces our commitment to supporting the growth of individuals and businesses, while enhancing our financial sustainability. As we go into the rest of the year, we remain focused on building a resilient banking franchise with a diversified earnings base,” Onyeali-Ikpe added.
Ranked among the best banks in Nigeria, Fidelity Bank Plc is a full-fledged Commercial Deposit Money Bank serving over 9.1 million customers through digital banking channels, its 255 business offices in Nigeria and United Kingdom subsidiary, FidBank UK Limited.
The Bank is the recipient of multiple local and international Awards, including the 2024 Excellence in Digital Transformation & MSME Banking Award by BusinessDay Banks and Financial Institutions (BAFI) Awards; the 2024 Most Innovative Mobile Banking Application award for its Fidelity Mobile App by Global Business Outlook, and the 2024 Most Innovative Investment Banking Service Provider award by Global Brands Magazine.
Additionally, the Bank was recognized as the Best Bank for SMEs in Nigeria by the Euromoney Awards for Excellence and as the Export Financing Bank of the Year by the BusinessDay Banks and Financial Institutions (BAFI) Awards.
Securities and Exchange Commission (SEC) has unveiled a technology adoption assessment survey for registered capital market operators as part of efforts to deepen innovation and efficiency in the Nigerian capital market.
In a circular, the SEC stated that the exercise was designed to evaluate the level of adoption of advanced technologies among CMOs operating within the Nigerian capital market.
According to the notice, “The following technology adoption survey is designed by the Commission to assess the adoption of advanced technologies among registered Capital Market Operators.”
The SEC directed all registered operators to log into the e-portal at using their current access credentials to complete the survey. The exercise will run for two weeks, from 5 to 20 May 2025.
Speaking recently on the role of innovation in the capital market, Emomotimi Agama, director-general of the SEC, urged stakeholders to embrace technology as a catalyst for growth, improved transparency, operational efficiency, and market resilience.
He noted that the SEC recognises the emergence of new financial products and services driven by technological advancements, and remains committed to adapting its regulatory framework to meet the evolving needs of the market.
According to him, the commission’s approach to innovation is anchored on three pillars: investor safety, market deepening, and problem-solving aimed at building a robust and efficient capital market ecosystem.
Agama also highlighted the commission’s Regulatory Incubation Programme, which allows fintech startups to operate within a controlled environment for one year while appropriate rules are developed to govern their activities.
He said the programme is part of the SEC’s broader strategy to support innovation while safeguarding market integrity and investor interests.
International Monetary Fund (IMF) ,has confirmed that Nigeria has fully repaid about US$3.4 billion loan it got in April 2020 under the Rapid Financing Instrument to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices.
IMF said the loan has been repaid as of April 30, 2025 in a statement issued in Abuja, Nigeria’s capital on Thursday.
However, IMF said Nigeria is still expected to honour some additional payments in forms of Special Drawing Rights charges hat will amount to US$30 million annually.
“In line with the IMF’s Articles of Agreements, these charges, levied at the SDR interest rate, which is updated at the beginning of each week, apply to the difference between Nigeria’s SDR holdings (SDR 3,164 million) (US$4.3 billion) and its cumulative SDR allocation (SDR 4,027 million) (US$5.5 billion)
“The net payment of the charges stops when Nigeria’s SDR holdings reach the cumulative allocation amount,” IMF said in the statement. Online fitness
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