Business

Sterling Bank stops online transfer charges, urges others to follow suit

Published

1 day ago

April 2, 2025

Lagos, April 2, 2025 – In a groundbreaking move that challenges long-standing banking norms, Sterling Bank has officially scrapped transfer fees for all local online transactions, setting a new precedent for customer-focused banking in Nigeria.

The announcement, made on April 1, was initially met with skepticism, as many suspected it to be an April Fools’ Day prank. However, Sterling Bank swiftly confirmed that the zero-transfer-fee policy is genuine and has taken effect immediately.

With this decision, Sterling becomes the first major Nigerian bank to eliminate charges on everyday digital transfers, addressing a growing concern among customers as digital banking adoption surges.

“We believe access to your own money shouldn’t come with a penalty,” said Obinna Ukachukwu, Growth Executive overseeing the Consumer and Business Banking Directorate. “This is more than a financial decision; it’s a values-based one. It reflects our commitment to making banking fair, inclusive, and truly customer-focused.”

Sterling customers will now enjoy free transfers on all local transactions conducted via the bank’s mobile app, a move expected to offer significant relief, especially to individuals and small business owners who rely on frequent digital transactions.

Sterling Bank has a track record of prioritizing social impact. During the COVID-19 pandemic, the bank stood out by providing supplementary payments to healthcare workers in public hospitals. This latest initiative reinforces its reputation as a forward-thinking and responsible financial institution.

The policy has been met with widespread public support, with social media platforms buzzing with praise for Sterling’s bold stance. Viral messages on WhatsApp, including one from a prayer group, expressed excitement over the decision: “Please my good people, this is not a joke! Sterling Bank has just shocked Nigeria today! My neighbor Justina just transferred N100k and no charges! God bless Sterling Bank!!”

As pressure mounts on other banks to follow suit, industry observers believe Sterling’s move could usher in a new era of customer-first banking in Nigeria.

“We’re proud to lead this change,” Ukachukwu added. “We hope it inspires others to rethink what customers truly need from their banks—not just in services, but in values.”

Sterling Bank’s zero-fee policy is part of its broader strategy to enhance customer experience and drive ethical, transparent banking practices at scale.

Business

Nigeria’s money supply rises 17% to N110.3 trn

Published

1 week ago

March 27, 2025

Online Editor

Nigeria’s broad money supply (M2) increased by 17.3% year-on-year (YoY) to N110.3 trillion in February 2025, up from N93.97 trillion in the same period of 2024, according to the latest Money and Credit Statistics released by the Central Bank of Nigeria (CBN). The report also revealed a contrasting trend in credit to the economy, which declined by 13.4% YoY to N99.4 trillion in February 2025, primarily due to reductions in credit to both the government and the private sector.

The data showed that quasi-money, which includes savings and time deposits, increased by 14% YoY to N72.7 trillion. Demand deposits saw a 22.8% YoY rise, reaching N33.05 trillion, while currency outside banks grew by 32% YoY to N4.51 trillion. Narrow money (M1) also expanded by 21.7% YoY to N36.9 trillion.

Despite the increase in money supply, credit to the government fell by 21.8% YoY to N26.5 trillion from N33.92 trillion in February 2024. However, on a month-on-month (MoM) basis, it rose 8% from N24.5 trillion in January 2025. Similarly, credit to the private sector declined 7.4% YoY to N74.9 trillion, down from N80.9 trillion in February 2024, and also dropped 1.6% MoM from January 2025 levels.

The overall decline in credit to the economy highlights a tightening of lending conditions despite the surge in money supply, with government borrowing remaining a key driver of liquidity expansion.

Business

Dangote polypropylene production will revive textile industry, save Nigeria $267m — MAN

Published

1 week ago

March 26, 2025

Online Editor

The Manufacturers Association of Nigeria (MAN) has stated that the production of polypropylene by the Dangote Petroleum Refinery & Petrochemicals will revive Nigeria’s struggling textile industry and save the country $267 million in import costs.

In an interview on the Channels Business Incorporated Programme, the Director-General of MAN, Segun Kadir-Ajayi, highlighted the struggle of the textile industry, which was once thriving and employed over 25,000 workers aged between 18 and 40 in the northern region alone. He explained that many companies have been forced to shut down due to the absence of local polypropylene production and the scarcity of foreign exchange required for imports.
He further stated that the production of polypropylene by Dangote Refinery and Petrochemicals will ensure that Nigeria, which currently imports 90% of its annual polypropylene requirements (amounting to 250,000 metric tonnes), will now become a net exporter, generating foreign exchange to strengthen the economy.

“For us in the manufacturing sector, this is a welcome development. It more than covers the 250,000 metric tons that constitute our national demand, which has been severely lacking. You can imagine the sectors it will impact—the textile industry, the plastic industry, the furniture industry. We are looking at an amount in the region of $267 million being saved. This is the amount spent every year in scarce dollars to import these materials. It is a welcome development for manufacturers, as it will incentivize investment in the sector,” he said.

Dangote’s $2 billion Petrochemical Plant in Ibeju-Lekki, Lagos, is designed to produce 77 grades of polypropylene. With a capacity of 900,000 metric tonnes per year and a turnover of $1.2 billion, it aims to meet the growing demand in plastic processing industries both in Africa and globally. The plant is expected to boost investment in downstream industries, create jobs, increase tax revenues, reduce foreign exchange outflow, and contribute to the country’s GDP growth.

Business

Heritage bank depositors appeal to National Assembly for intervention

Published

1 week ago

March 26, 2025

Online Editor

Depositors of Heritage Bank with deposits exceeding N5 million have appealed to the National Assembly to intervene and assist in the resolution of the bank’s license by the Central Bank of Nigeria (CBN).
The depositors claimed that the revocation has left them in financial distress, with their livelihoods and businesses hanging in the balance.

In a statement, the depositors expressed frustration that despite previous assurances from the CBN that the bank was not in distress, they have been unable to access their funds.

The situation, according to them, has led to widespread economic hardship with businesses shutting down, life savings crumbling, and daily expenses coming to a standstill.

The statement reads, “Some depositors have died from heart attacks, while others are hospitalized. We are at a loss, and our families are suffering.

“We are perplexed by the action exhibited by the CBN after Unity Bank merged with Providus Band, which ensured a smooth transition of depositors. We are aware that First Bank was paid N460b of its deposits in Heritage Bank before its liquidation. Why should we be treated differently, subjected to an everlasting process to recover our funds from the sale of Heritage Bank’s properties?

“We plead that you intervene by advising CBN to pay all depositors in full without further delay. Advise that a few other banks absorb the depositors while ensuring a smooth transition as was done in the case of Unity Bank and Providus Bank.

“Utilize Heritage Bank’s reserve ratio to settle depositor’s claims. Treat depositors equally as was done with First Bank and verify NDIC’s claim of paying the insured sum to 85% of depositors and ensure prompt payment to all eligible depositors.”