The Central Bank of Nigeria (CBN) has granted Approval-in-Principle (AIP) to JPMorgan to establish a merchant bank in Nigeria, to be known as JPMorgan Merchant Bank Nigeria Limited.
The development marks a significant step in the country’s financial sector and reflects growing international interest in Nigeria’s financial markets and long-term economic prospects.
The CBN Director of Corporate Communications and Investor
Relations, Michael Akuka, announced the approval, saying it was granted amid ongoing reforms aimed at strengthening financial stability, restoring market confidence and deepening Nigeria’s integration with global capital markets.
According to Akuka, the development follows the successful implementation of the banking sector recapitalisation exercise, which has strengthened the resilience and capacity of Nigerian banks. 
It also comes against the backdrop of broader reforms under CBN Governor Olayemi Cardoso, focused on strengthening financial stability, deepening financial markets and rebuilding international confidence in the Nigerian financial system.
Cardoso said the apex bank’s objective was to build a financial system that is stable, competitive and internationally connected and capable of supporting investment and economic growth.
“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,” the governor was quoted as saying.
Akuka, however, clarified that the AIP represents only the first stage of the regulatory approval process and does not amount to a final banking licence.
He said JPMorgan Merchant Bank Nigeria Limited must fulfil all applicable regulatory requirements, including incorporation with the Corporate Affairs Commission and completion of the necessary operational and regulatory arrangements, before it can be authorised to commence business.
The CBN also approved the appointment of Adedapo Olagunju as Managing Director of the proposed merchant bank.
Latter Kevin George, Nzelu Chinedum Izunwanne and Syed Gabriel Murtaza were approved as non-executive directors, while Alade Sarah Omotunde, Ajayi Olukonyinsola and Adetu Seni were approved as independent non-executive directors.
The proposed bank will only be permitted to commence operations after the CBN issues a final banking licence.
