General News
Erosion of Trust: How Hidden Charges, Downtime Are Bankrupting Confidence in Nigerian Banks

By Blaise Udunze
In a society where trust is the lifeblood of finance, Nigeria’s banking sector seems to be bleeding credibility at an alarming rate. The relationship between banks and their customers that was once defined by confidence and reliability has gradually shifted into one coloured by suspicion, frustration, and resentment.

Across the country, Nigerians now speak of their banks not with loyalty, but with a weary sense of inevitability, just like tenants trapped in a bad lease. It is no longer just about economic hardship; it is about the growing perception that the very institutions meant to protect people’s money are quietly exploiting them.
Despite repeated Central Bank of Nigeria (CBN) sanctions for breaching its Guide to Charges by Banks and Other Financial Institutions, banks continue to extract billions of naira from customers through transfers, withdrawals, ATM fees, SMS alerts, and account maintenance. With over 312 million active bank accounts in the country, these charges have become a lucrative revenue stream, now contributing more to profitability than traditional lending or genuine financial intermediation. N10 here, N50 there, small sums that, when multiplied across 312 million active bank accounts, translate into billions (N15,600,000,000 when multiplied by N50 charges) silently siphoned from the public’s pockets each month.
The banking public has long tolerated these fees in the name of “service sustainability,” but tolerance has its limits. What might seem like minor deductions of N10 here and N50 there has become a silent tax on trust. For many, these small, routine deductions now make the difference between subsistence and shortfall. Despite the CBN’s efforts to standardise bank charges, many institutions continue to test public patience.
The apex bank’s February 2025 circular (FPR/DIR/GEN/CIR/001/002) introduced new charges for ATM withdrawals: N100 per N20,000 at “on-site” ATMs and up to N600 for “off-site” machines. Debit card maintenance costs N50 per quarter, credit card issuance N1,000, and a security token for online banking up to N2,500. Add to that a 0.005 percent cybersecurity levy, N10-N50 transfer fees, 7.5 percent VAT on services, N6.98 for USSD transactions, N6 per SMS alert, and N50 for stamp duty, and it becomes clear that Nigerians are paying more for access to their own money than for the value banks provide.
The system has made routine transactions financially exhausting, and in the process, the public’s goodwill is being drained faster than their account balances. Economist Paul Alaje of SPM Professionals puts it bluntly: “Banking is not done in Nigeria. What we have is money keeping and charges on deposits.” Nigerian banks appear to have perfected the art of holding deposits and generating profits not from innovation or lending, but from layered fees. A small business owner transferring N500,000 weekly pays N25 as a cybersecurity levy, N50 as a transfer fee, N3.75 as VAT, and N6 for SMS notifications per transaction, which sums to a total of N84.75. Multiply that by a week’s trading cycle, and the deductions become a serious dent in working capital.
Worse still, these fees often lack transparency. Customers discover new deductions like surprise taxes. The Guide to Charges explicitly requires clarity, yet many banks bury costs in technical terms and periodic bulk debits. For the public, this lack of transparency is not just a financial grievance; it’s an ethical one.
Ironically, the same banks that boast of digital transformation now struggle with reliability. Failed transfers, app outages, and delayed reversals have become as common as debit alerts.
In a nation increasingly dependent on digital payments, system failures are not minor inconveniences, but they are breaches of trust. They distort commerce, frustrate small businesses, and undermine confidence in the formal economy. Data tells the story: E-business income for some top-tier banks dropped to N209.34 billion in the first half of 2025 from N215.01 billion a year earlier, signaling operational strain despite increased customer activity. Behind the glossy digital marketing lies an uncomfortable truth, which reveals that many banks are running on outdated infrastructure stretched to breaking point.
If poor service was not enough, liquidity rumours have joined the mix, threatening to shake what’s left of public confidence. In an age of social media, a single viral tweet about a “bank under stress” can trigger panic withdrawals before the facts emerge. Ironically, the data paints a different picture. Banks’ deposits with the CBN surged to N67.72 trillion in the first half of 2025, which represents a 730 percent year-on-year increase. System liquidity even peaked at N5.73 trillion. Yet the same period saw N131.42 trillion borrowed from the CBN by commercial and merchant banks, representing a 636 percent increase.
While these figures suggest active liquidity management rather than crisis, public perception doesn’t follow balance sheets; it follows belief. In banking, perception is reality, and right now, that reality feels shaky.
At the core of this crisis is not just money; it is morality. Banking, at its essence, is a covenant of trust. Customers deposit their earnings in the belief that the system will protect them, not prey upon them. But in Nigeria, that covenant appears frayed. Many banks treat transparency as an obligation rather than a principle. Every policy adjustment is introduced as a necessity, yet it almost always ends up extracting more from the customer than it gives back in service quality.
If banks are to rebuild credibility, they must begin with empathy. Publish clear charge breakdowns in plain language. Communicate promptly when systems fail. Invest in resilient digital infrastructure instead of another rebrand campaign. Recognise that trust is not maintained by advertising slogans; it is earned through consistency, fairness, and accountability.
The CBN, for its part, must match regulatory rhetoric with enforcement. Penalties of N2 million per infraction, as prescribed in its Guide to Charges, are meaningless if rarely applied. A regulator that overlooks systemic overcharging becomes complicit in the erosion of trust it seeks to prevent.
Nigeria’s financial sector cannot grow on distrust. Every hidden charge, every failed transaction, and every rumour left unaddressed chips away at its moral capital. The time has come for the industry to undergo a recalibration from profit obsession to public accountability.
The strength of a banking system is not measured by the size of its headquarters or the number of zeroes in its profits, but by the trust of its depositors. And that trust, once lost, takes more than balance sheet expansion to regain. The Nigerian banking industry must choose between continuing down the path of silent exploitation cloaked in financial innovation or returning to the foundational virtues of integrity, service, and transparency. Only one of those paths leads back to trust.
Blaise, a journalist and PR professional writes from Lagos, can be reached via: [email protected]
General News
FG Launches the Happy Woman App Platform

Federal government has unveiled a new digital platform to connect millions of women to finance, skills training, and market opportunities, in what officials call the country’s largest technology-driven women’s inclusion initiative to date.

The Happy Woman App Platform, which was unveiled at the Presidential Villa in Abuja, would serve as a single interface for women to access funding facilities, business development support, governmental initiatives, and critical services.
The digital drive comes as Nigeria grapples with expanding gender gaps in financial access, with women much less likely than males to maintain bank accounts or obtain formal credit, limiting their capacity to grow informal enterprises they primarily run.
Yet women remain central to the economy, accounting for a large share of micro and small enterprises that contribute nearly half of the country’s GDP.
According to the Social Institutions and Gender Index, only about 35 percent of Nigerian women have a bank account at a financial institution, compared with 55 percent of men, underscoring the depth of persistent financial exclusion and the urgency of targeted interventions.
The launch coincided with the expansion of the Nigeria for Women Programme, which the administration now plans to scale nationwide to reach 25 million women.
President Bola Tinubu, represented by vice president Kashim Shettima, said the scale-up is central to Nigeria’s economic growth strategy.
“A nation that relegates its women is a nation bound for implosion,” he said, adding that women must be placed “at the centre of national planning and productivity.”
The expanded programme builds on a pilot phase in six states that reached over one million women, many organised into Women Affinity Groups to access grants, savings schemes and livelihood support.
The government says the new app will streamline beneficiary registration, payments and training, reducing leakages and improving delivery.
General News
Indigenous Firm Deploys 400,000 Smart Electricity Meters in 2025

MOJEC International Limited has revealed that it deployed over 400,000 smart meters nationwide in 2025, representing a significant year-on-year growth for the indigenous smart meter manufacturer.

This performance reflected a 33.3 percent increase over the 300,000 meters deployed in 2024, highlighting the scale and acceleration of MOJEC’s metering operations.
Chantelle Abdul, group managing director, attributed the sustained impact to deliberate investments in infrastructure, people, and technology.
“MOJEC operates two state-of-the-art meter production facilities with a combined installed capacity of up to five million meters annually. This scale enables us not just to meet current demand, but to support Nigeria’s long-term metering and energy efficiency goals,” she said.
She further noted that MOJEC’s expansive installer ecosystem, comprising over 5,000 trained professionals nationwide, remains a critical enabler of its delivery advantage, ensuring speed, quality, and compliance across diverse terrains and markets.
The company stated that the deployment surge reflected growing confidence by Distribution Companies (DisCos) and sector stakeholders in MOJEC’s technical capacity, delivery speed, and end-to-end metering solutions.
According to Monday Ubogu, MOJEC’s head of installation, the scale and consistency of delivery set the company apart.
“Within the first three quarters of the year, MOJEC completed about 300,000 installations, accounting for roughly 40 percent of total installations nationwide during that period.
“The momentum continued into the final quarter with an additional 150,000 meters deployed, highlighting our operational depth and nationwide reach,” he said.
Ubogu added that MOJEC’s performance builds on decades of sector engagement, spanning key national metering initiatives including CAPMI, MAF, Vendor Financing, MAP Phases I & II, and NMMP 0, with the company having deployed nearly four million meters since the privatisation of NESI.
According to the company, a substantial portion of the deployment was driven by MOJEC Meter Asset Management Company (M3AC), the Group’s asset management subsidiary, which accounted for about 350,000 installations.
General News
Globacom Donates ₦1Bn to Lagos State Security Trust Fund

In its bid to contribute its quota to the consolidation of security in Nigeria’s commercial capital, Lagos, telecommunications giant, Globacom, has thrown its weight behind the Lagos State Security Trust Fund (LSSTF) with a donation of ₦1 billion.

The generous donation was announced at a Private Sector Breakfast Meeting with CEOs, convened at the instance of the Executive Governor of Lagos State, Mr Babajide Sanwo-Olu, on Friday, January 30, 2026 and shows the company’s commitment to fostering public safety which would in turn, culminate in enhanced prosperity and social re-engineering in the state.
The donation, which is the biggest private-sector intervention from the telecommunications sector to the Fund in recent years, again shows that Globacom is a responsible, responsive and people-oriented corporate citizen.
Globacom disclosed that the intervention emphasized deeper collaboration between government and the state’s business community especially in relation to security, innovation and economic resilience—an agenda which the digital solutions company has unabashedly supported through sustained social investments.
The Executive Secretary/CEO of the Fund, Dr. Ayo Ogunsan, in his display of appreciation described Globacom’s largesse as “a powerful demonstration of corporate citizenship and a strategic investment in the stability of Lagos State,” saying since LSSTF was established to bridge funding gaps in security infrastructure, it desired voluntary contributions from corporate bodies and well-meaning collaborators.
Dr. Ogunsan promised that the ₦1 billion donation will significantly enhance the Fund’s capacity to address critical priorities for 2026, including multipurpose security helicopters and drones, Armoured Personnel Carriers (APCs), water cannons, digital communication equipment and Smart CCTV systems. These assets, he added, were germane to proactive policing, rapid response and intelligence-led operations across the state.
He therefore encouraged Lagosians to support businesses that invest in the safety and development of the state, saying, “When companies step forward to secure our environment, residents should reciprocate by patronizing them. Their support directly impacts the protection of lives, property and economic activity.”
A statement from Globacom explained that the donation was an expression of the company’s staunch belief in Nigeria’s future. “At Globacom, we see security not as a government burden alone, but as a shared responsibility. When people feel safe, enterprise grows, creativity flourishes and hope becomes practical. Our support for the LSSTF is about protecting the everyday dreams of millions of Lagosians,” he noted.
With this donation to the LSSTF, Globacom has furthered its tradition of investing directly in the conditions like safety, confidence and stability which help commerce to thrive. Consequent on the support, LSSTF is gingered to raise the bar of security thereby concretizing Lagos State’s position as Nigeria’s safest and most vibrant commercial hub.
This recent financial intervention from Globacom is in tandem with its avowed commitment to social responsibility that is practical, timely, scalable and aligned with national priorities.
The company’s interventions in the past decades have spanned relief efforts for flood-affected communities, support for displaced persons, advanced youth skills through structured training programmes, and investments in education, culture and digital inclusion.
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