Abbey Bank Plc, previously identified as Abbey Mortgage Bank Plc, has mentioned it would adopt a digital-first strategy as it transitions into regional commercial banking.
To that impact, the financial institution mentioned it is now advancing know-how integration, strengthening operational processes and supporting the migration of shoppers to an enhanced core banking platform.
The financial institution’s Managing Director and Chief Executive Officer, Mobolaji Adewumi, who disclosed this, mentioned digital banking stays a central pillar of the financial institution’s strategy to make monetary providers extra accessible.
According to him, the financial institution would mix digital banking with its bodily presence in eight areas. Adewumi mentioned the financial institution had recruited professionals throughout treasury, commerce finance, company banking, retail banking, digital banking and danger administration to assist its new operations.
Abbey Bank raises N64 billion for commercial banking transition
Adewumi mentioned the choice to transfer past mortgage banking adopted an evaluation of financing alternatives throughout the housing worth chain, together with property builders, constructing materials suppliers, importers and different associated companies.
- He defined that the financial institution’s earlier mortgage banking licence restricted its capability to finance a few of these companies, prompting it to search a broader licence to assist its growth.
- Discussions with the Central Bank of Nigeria (CBN) on the transition started in 2023, whereas approval in precept was obtained in October 2024.
- The financial institution subsequently raised N64 billion, exceeding its preliminary goal of N40 billion, with the funds cleared by the CBN. It obtained its regional commercial banking licence in June 2026.
Adewumi mentioned the brand new licence would additionally assist handle the excessive value of funds that has constrained mortgage lending by broadening the financial institution’s funding choices, together with via retail deposits.
The Executive Director of Finance, Risk and Operations, John Okonkwo, mentioned the financial institution’s improved danger administration framework had been central to its efforts to preserve a wholesome mortgage portfolio.
He additionally disclosed that the financial institution had launched an investor relations framework to allow minority shareholders to elevate issues and procure related data. The board has three impartial non-executive administrators, he mentioned.
How Abbey secured commercial banking licence
Earlier in June this yr, Nairametrics reported that Abbey Mortgage Bank Plc, had secured regulatory approval from the Central Bank of Nigeria (CBN) to convert into a commercial bank.
- The approval was anticipated to unlock a serious strategic milestone for the corporate, permitting the financial institution to broaden past mortgage financing into complete commercial banking providers.
- Before that approval, Abbey’s transition to commercial banking had been in movement for months, supported by strategic choices and robust monetary efficiency.
At the Annual General Meeting (AGM) held on May 26, 2026, shareholders permitted a N164.5 billion personal placement and authorised the board to elevate an extra N100 billion via numerous fairness and debt devices, topic to regulatory approvals.
