CBN Approves Diamond Bank National Banking Application

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Diamond Bank Plc (“The Bank or “Diamond”), Nigeria’s fastest growing retail bank, has received the approval of the Central Bank of Nigeria (“CBN”) following its application to operate as a National Bank with immediate effect (subject to conclusion of the sale of Diamond Bank UK- DB UK Plc). With this approval the bank will cease to operate as a global Bank like they used to.

The re-licensing as a national bank supports Diamond’s objective of streamlining its operations to focus resources on the significant opportunities in the Nigerian retail banking market, and economy as a whole.

The move follows Diamond’s decision to sell its international operations, which included the disposal of its West African Subsidiary in 2017 and Diamond Bank UK, the sale of which happens to be in its final stages.

The change to national bank status also enables the bank to keep up a lower minimum capital dependence on 10% as against 15% required for international banks. This creates room for the lender to deploy more capital for stronger growth in the quarters ahead through additional investment in technology platforms, customer acquisition and expansion of loans to the critical sectors of the economy.

Uzoma Dozie, CEO, said: “The proceed to a national banking license marks a continuation of our technique to focus on Nigeria’s significant fundamental trends, including a large underbanked population and Africa’s biggest economy. By focusing and optimizing our resources towards Nigeria and the priority area of retail banking, we are better positioned for long run growth and greater profitability. [See also : Stop ATM Charges, Nigerians Urges CBN]

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“The decrease in minimum capital requirement also increases our capacity to expand the quantum of business and product services we can offer consumers, along with representing an integral step in strengthening our budget. ”

This development does not affect the bank’s ability to offer services to its customers in nations; Rather, with focus on its domestic business being priority, the bank also intends to pay down completely, the Eurobond loan of $200m at maturity in-may 2019. You will see no refinancing of the loan whilst the intent to pay down with foreign exchange generated from its internal operations, a reflection of the solidity of its operations and funds flow within the last few years.

Excellent services to international clients will continue through its digital channels (Diamond Mobile, Internet Banking etc . ) and network of correspondence banks.

Diamond Bank Plc is a respected Nigerian financial services company, which commenced operations as a private limited liability company on March 21, 1991. In May 2005, it was listed on The Nigerian Stock market.

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Today, Diamond Bank may be the fastest growing retail bank in Nigeria with a track record of top quality banking solutions for clients. It is the lead driver of financial inclusion, providing enhanced customer experience through innovation and technology. Regarded as supporter of life style trends, its mobile banking app, “Diamond Mobile”, currently has over 2 million active subscribers on its platform. Diamond Bank has over the years leveraged its underlying resilience to grow its asset base and to retain its key business relationships.

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It has also played a leading role in partnering with domestic and International bodies such as for example Women’s World Banking, The Gates Foundation, MTN, and so on to create quick access to financial services for the unbanked.

We have cultivated excellent banking relationships with well-known international banks, allowing us to supply a range of world class banking services to match the business needs of our clients

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