Role of Bank Capitalisation in Economic Expansion. Opportunities for You as An Investor
Coronation Securities
15 Jul 2024 · Thought Leadership Articles
Nigeria's economic growth story is built on a strong foundation – well-capitalised banks. These banks act like well-stocked irrigation systems, channeling essential funds towards critical sectors and ensuring the economy flourishes.
Strong capital reserves empower banks to lend with confidence, directing those funds like life-giving water to propel growth. This becomes especially clear when looking at the staggering growth of electronic transactions in Nigeria, reaching a massive ₦600 trillion in 2023 (a 55% increase year-over-year according to NIBSS data).
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