Nigeria’s largest tier-1 bank, Access Bank, plans to issue dollar-denominated bonds in the domestic market to support its expansion and comply with regulatory capital requirements set by the Central Bank of Nigeria (CBN).Â
The bank’s Managing Director, Roosevelt Ogbonna, mentioned that these securities will be issued in two tranches, one aimed at development finance institutions (DFIs) and the other for the open market, with the DFI-targeted tranche expected to be finalized by mid-2025.
This strategic move allows Access Bank to cater to the increasing local demand for dollar assets as individuals and businesses seek protection from naira devaluation.
Following the directive from the central bank in March for banks to recapitalize, Access Bank completed its rights issues in August, raising funds to meet regulatory targets. To further bolster its financial position, the bank may explore acquisitions, building on its success in entering new markets like Tanzania.
With expansion plans into Hong Kong by October and the United States by 2025 or 2026, Access Bank is focused on solidifying its position as one of Africa’s leading financial institutions, operating across 24 countries.
Investors are likely to view Access Bank’s dollar-denominated securities as a favorable safeguard against naira depreciation.