The Central Bank of Nigeria has dismissed circulating claims that Polaris Bank is undergoing liquidation, describing the reports as false and misleading.
The apex bank made the clarification in a post on X, where it reassured members of the public that the Nigerian banking sector remains stable and secure.
The response followed a viral social media post alleging that Polaris Bank was facing liquidation for failing to meet the bank’s recapitalisation requirements. The claim also suggested that the bank could soon lose its operating licence, with the Nigeria Deposit Insurance Corporation expected to take over the liquidation process.
The viral post further alleged that businessman Razaq Okoya had made a bid to acquire and revive the bank, pending approval from regulators and shareholders.
However, the CBN flagged the circulating claim as fake, sharing a screenshot of the report and warning the public against spreading unverified information.
“This content is fake. Let the public be guided. The Nigerian Banking System is Safe and Secure,” the central bank said.
The clarification comes amid ongoing reforms in Nigeria’s banking sector, including the recapitalisation programme introduced by the CBN to strengthen financial institutions and enhance their resilience.
Earlier this year, the apex bank announced that 33 banks had successfully met the revised minimum capital requirements under the programme. According to the CBN, the 24-month exercise raised a total of N4.65 trillion, pushing capital adequacy ratios across the banking sector above global Basel benchmarks.
The bank, however, noted that a small number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
As part of regulatory actions aimed at strengthening oversight within the sector, the CBN in January 2024 dissolved the boards and management of Polaris Bank, alongside those of Union Bank of Nigeria and Keystone Bank.
Polaris Bank had previously faced scrutiny over its ownership and sale process in 2022, when reports emerged that a higher bid had been submitted during the bank’s sale than the one eventually accepted. At the time, the House of Representatives of Nigeria directed the apex bank to suspend the sale.
In a related development, a Federal High Court in Lagos reportedly reversed the dissolution of the board and management of Union Bank of Nigeria in a judgment delivered on March 25. The CBN, while responding to the ruling, maintained that the bank’s regulatory status remains unchanged and said it would review the judgment.