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CBN grants JP Morgan approval-in-principle to set up merchant bank

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The Central Bank of Nigeria (CBN) has granted approval-in-principle to JP Morgan to set up a merchant in the country.

The move eases the path for the US largest bank to expand its services – payments, lending, trade finance and corporate banking – in Nigeria, where it has operated a representative office for years.

JP Morgan Merchant Bank Nigeria Limited plans to run wholesale banking, capital markets and advisory services, Michael Akuka, the CBN’s director of corporate communications and investor relations, said in a statement on Friday.

The approval-in-principle is the first phase of the licensing process, and does not translate into an ultimate banking permit.

JP Morgan needs to clear further regulatory hurdles such as incorporation with the Corporate Affairs Commission and operational approvals before it can commence operations, the regulator stated.

The push comes amidst hordes of banking sector reforms in Africa’s most populous country, aimed at bolstering the financial system, enhancing market confidence and boosting resilience.

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According to the statement, the CBN also approved the nomination of Adedapo Olagunju as the managing director of the bank and Latter Kevin George, Nzelu Chinedum Izunwanne and Syed Gabriel Murtaza as non-executive directors.

“Our objective is to build a financial system that is stable, competitive and internationally connected, one that commands confidence and can effectively support investment and economic growth,” said CBN Governor Olayemi Cardoso.

READ ALSO: CBN outlines market infrastructure supporting Nigeria–China financial flows at Beijing investor forum

“We are encouraged by the growing interest of international financial institutions in Nigeria. Our focus remains on sustaining the reforms, strengthening the credibility of our markets and creating an environment in which both domestic and international institutions can participate and thrive,” he added.

On Tuesday, Bloomberg, citing sources with knowledge of the deal, reported that JP Morgan was on course to secure a banking licence in the country after depositing N50 billion ($38 million) with the CBN.

It noted that the bank hopes to receive the licence by year-end or in early 2027, provided it is able to obtain all the requisite approvals

P Morgan’s presence in Nigeria dates back to 1961, when Chase Manhattan Bank, which later evolved into JP Morgan Chase & Co., opened a branch in Lagos, providing a wide range of commercial banking services to local businesses and individuals.

A year earlier, Chase International Investment Corporation, a unit of Chase Manhattan Bank, served as the lead partner in organising Nigerian Textile Mills in Lagos, regarded as the first major private industrial project with an American interest in Nigeria.


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CBD COP17: Nigeria, France Push for Faster Action on 30×30 Biodiversity Target

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Nigeria and France have called for stronger political leadership, increased financing and concrete commitments to accelerate the implementation of the global target to protect 30 per cent of the world’s land and seas by 2030.

The two countries made the call during a Target 3 Action Day at the ongoing 17th Conference of the Parties to the United Nations Convention on Biological Diversity (CBD COP17) in Yerevan, Armenia.

As co-chairs of the High Ambition Coalition (HAC) for Nature and People, the countries stressed the need to sustain political commitment and translate global biodiversity pledges into measurable conservation outcomes.

HAC is the largest multilateral coalition united to protect nature. With 123 member countries, the coalition is leading the historic effort to conserve and protect at least 30 per cent of the world’s land and 30 per cent of the ocean by the year 2030 (“30×30”).

This ambitious plan is a key target of the Kunming-Montreal Global Biodiversity Framework. Established in 2023, the permanent HAC for N&P Secretariat has made significant progress in supporting its members to implement this global target, aiming to halt and reverse biodiversity loss and put nature on a path to recovery.

Charles Nicolai, who spoke on behalf of the coalition, said political leadership must continue beyond adopting the target at CBD COP15 in Montreal, Canada.

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“Political leadership did not end in Montreal, when Target 3 was adopted at CBD COP15. It must endure until the target has been collectively achieved,” he said.

Mr Nicolai warned that weak political commitment could slow implementation, adding that only four years remained to achieve the 2030 target.

“Where leadership falters, implementation slows. With only four years remaining until 2030, we cannot afford to lose momentum,” he said, expressing confidence that the 30×30 target remained achievable.

The 30×30 target is a central component of the Kunming-Montreal Global Biodiversity Framework adopted in 2022. It calls on countries to ensure that by 2030, at least 30 per cent of terrestrial, inland water, coastal and marine areas are effectively conserved and managed.

Nigeria, France outline progress

Mr Nicolai said France had used its presidency of the Group of Seven (G7) this year to advance the effective management of marine protected areas.

He said G7 environment ministers agreed to make the issue a collective priority and established a dedicated platform to exchange knowledge and best practices to improve the management of protected marine areas.

In West Africa, he said, Nigeria had played a leading role in advocating for the 30×30 target, using its diplomatic influence to promote a coordinated approach to expanding and strengthening protected areas on land and at sea.

He added that the coalition had organised six regional and global consultations, with support from its secretariat, to identify measures needed to strengthen implementation.

The consultations, held through platforms including ChangeNOW, the Our Ocean Conference, and meetings of the Convention’s scientific subsidiary body, helped develop a 30×30 Ministerial Declaration.

According to Mr Nicolai, the declaration was designed to renew political leadership and encourage coalition members to make more ambitious commitments.

The coalition also presented the declaration and a 30×30 Global Assessment at a Nature Leaders event at the United Nations headquarters, attended by heads of state and ministers from several countries.

Nigeria highlights six principles

In her remarks, Sikeade Egbuwalo, Nigeria’s focal point person to the Convention on Biological Diversity, said achieving the target would require coordinated action across governments, communities, businesses and civil society.

She described the 30×30 ambition as more than a slogan, saying it represented a commitment to nature, people and future generations.

Ms Egbuwalo outlined six guiding principles underpinning the ministerial declaration:g collective responsibility, transparency, effective management, community participation, local implementation and adequate financing.

She said governments must demonstrate progress through transparent reporting, including submissions to the World Database on Protected and Conserved Areas and national reports to the CBD.

She also warned against treating the target as a numerical exercise, stressing that protected areas must be effectively managed, ecologically connected, representative and well governed.

“Quality matters just as much as quantity! It is not enough to draw lines on a map and declare victory,” she said.

Ms Egbuwalo further emphasised the need to ensure that Indigenous Peoples and local communities had meaningful roles in conservation decisions, noting their longstanding contributions to protecting nature.

She called for stronger national implementation and regional cooperation, including progress toward ratifying and implementing the Agreement on the Conservation and Sustainable Use of Marine Biological Diversity of Areas Beyond National Jurisdiction, known as the BBNJ Agreement.

READ ALSO: ANALYSIS: CBD COP17: Russia, Africa disagree as delegates adopt 14 decisions

Funding remains critical

Mrs Egbuwalo identified financing as a major requirement for achieving the 2030 target, particularly in developing countries.

“Ambition is wonderful, but ambition without resources will not get us very far,” she said, calling for adequate, accessible and timely funding to translate commitments into conservation outcomes.

She urged governments, development partners, businesses, civil society organisations and other stakeholders to sustain the momentum generated at COP17 beyond the conference.

Mrs Egbuwalo also announced that the coalition would work towards organising its first 30×30 Global Summit in 2027, providing another platform to assess progress and share successful conservation initiatives.

She said the initiative would bring together governments, non-governmental organisations, funders, Indigenous Peoples and local communities, businesses,s and other partners.

“30×30 is not a competition over who protects the most. It is a collective mission to ensure that nature wins — and when nature wins, humanity wins!”


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REA Ends 16 Years of Darkness in Two Kano Communities

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BY GABRIEL MICHEAL—The Rural Electrification Agency (REA) has again advanced its goal of deepening electricity access across the country with the commissioning of two mini-grid projects in Kano State after over sixteen years of darkness.

The agency commissioned two projects comprising a 195kWp system in Ballagaza and a 70kWp system in Marayar Rogo, located in Warawa, which will serve 2,222 households ending over sixteen years of darkness.

Speaking at the ceremony, the Managing Director of REA,  Abba Aliyu, described the project as another step toward achieving the Renewed Hope Agenda’s goal of electrifying over 17 million Nigerians.

He described the project as a strong example of what public-private partnerships can achieve.

He also thanked the Kano State Governor, Abba Kabir Yusuf for identifying electricity as a key deliverable of his administration and for providing a conducive environment for the execution of the project.

“The Federal Government did not build these mini-grids and hand them over. Alfuttaim Nigeria Limited invested its own money, built them, and will own and operate them for many years. What the government did, through the DARES programme delivered by the REA with support from the World Bank, was to subsidize part of the cost to ensure the electricity is affordable for you.”

“Under DARES, Nigeria is working toward 1,350 mini-grids, and the programme has already brought new or improved electricity to more than five million Nigerians. Our country still has more people without electricity than any other nation in the world. That challenge will not be solved by a single agency or programme; it will be solved community by community, in places like Ballagaza and Marayar Rogo, when private companies are willing to invest and communities take ownership of what is built for them. The government’s job is to keep its word to both,” he said.

The Gabazawa community which is known for groundnuts, millet, sorghum, and soya, as well as its blacksmiths, weavers, and dyers, will experience advanced production, allowing groundnuts to be pressed into oil and kuli-kuli using electric machines and sold at a better price.

The mini-grid project will also serve the primary healthcare centre in the Gabazawa community, which has previously been without power.

In her remarks at the event, the Co-founder of Alfuttaim, Dr. Nabilah Sani, expressed delight at the completion of the project, noting that it will not only power homes but also boost agricultural productivity.

She thanked the Federal Government for facilitating the funding that brought the project to fruition while noting that these are just two of ten sites currently under development in Kano.

She further urged residents of the community to protect the infrastructure as their own and shun vandalism.

The post REA Ends 16 Years of Darkness in Two Kano Communities appeared first on Business Today NG.

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