NEWS
Banks Rake In ₦209bn From Account Maintenance Charges As Nigeria’s Banking Transactions Surge
Nigeria’s banking sector recorded a significant rise in earnings from account maintenance charges in the first quarter of 2026, as increased economic activities, rising business confidence, and expanding banking transactions boosted the financial performance of major lenders across the country.
An analysis of the unaudited financial statements of 11 listed banks showed that Nigerian banks earned a combined ₦209.18bn from account maintenance charges in Q1 2026, representing a 14.07 per cent increase from the ₦183.37bn recorded during the corresponding period in 2025.
The review further revealed that total fee and commission income climbed to ₦984.47bn in Q1 2026 from ₦866.30bn in Q1 2025, reflecting a 13.64 per cent year-on-year growth.
The figures, compiled from the financial results of 11 out of the 13 banks listed on the Nigerian Exchange, excluded FCMB Group and Unity Bank, which were yet to release their unaudited first-quarter reports.
According to the Central Bank of Nigeria’s Guide to Charges by Banks and Other Financial Institutions, account maintenance fees are regulated charges applicable strictly to current accounts. The charges replaced the former Commission on Turnover and are designed to help banks recover the operational costs associated with maintaining active transactional accounts.
A breakdown of the earnings showed that Zenith Bank recorded the highest account maintenance income at ₦25.07bn. Ecobank Transnational Incorporated followed with ₦118.06bn generated under cash management and related fees, regarded as the closest equivalent disclosed by the bank.
Access Holdings generated ₦16.68bn from account maintenance charges, while Guaranty Trust Holding Company posted ₦15.12bn and United Bank for Africa recorded ₦13.26bn.
In the broader category of total fee and commission income, Ecobank emerged as the highest earner with ₦237.80bn. Access Holdings followed with ₦205.03bn, while UBA generated ₦124.07bn. First Holdco posted ₦96.12bn, and Zenith Bank earned ₦84.79bn.
Among banks that separately disclosed account maintenance income, GTCO recorded the fastest growth, with earnings rising by 42.15 per cent from ₦10.63bn to ₦15.12bn.
Sterling Financial Holdings followed with a 38.31 per cent increase to ₦2.38bn, while Wema Bank’s earnings from account maintenance charges rose by 31.30 per cent to ₦3bn. Zenith Bank posted a 30.81 per cent increase to ₦25.07bn, while UBA recorded a 27.65 per cent rise to ₦13.26bn.
For overall fee and commission income, Zenith Bank led growth performance with a 41.43 per cent increase. Fidelity Bank followed with 39.70 per cent growth, while Sterling Financial Holdings expanded by 33.25 per cent. Stanbic IBTC Holdings recorded a 30.37 per cent increase, and First Holdco grew by 23.67 per cent.
Despite the strong industry-wide performance, some lenders experienced declines in account maintenance earnings. Fidelity Bank recorded a 2.52 per cent drop to ₦3.24bn from ₦3.33bn, while Stanbic IBTC’s account transaction fees, its closest equivalent to account maintenance charges, fell by 4.98 per cent to ₦1.91bn from ₦2.01bn.
Across the sector, banks reported mixed performances in various fee-generating business lines.
Access Holdings grew its fee and commission income by 17.5 per cent to ₦205.03bn, driven largely by credit-related fees, bills and letters of credit, alongside growth in e-business income. However, account maintenance income recorded only a modest 4.1 per cent rise to ₦16.68bn.
Ecobank’s fee and commission income increased by 7.72 per cent to ₦237.80bn, supported by brokerage fees, portfolio management income, and cash management-related charges, which accounted for nearly half of the bank’s total fee income.
Fidelity Bank posted a 39.7 per cent increase in fee and commission income to ₦33.28bn, driven mainly by ATM charges, Fidelity Connect commissions, and letters of credit fees, despite a decline in account maintenance earnings.
First Holdco recorded a 23.67 per cent increase in fee and commission income to ₦96.12bn, with strong contributions from credit-related fees, brokerage income, custodian services, and financial advisory operations. Account maintenance charges rose by 17.38 per cent to ₦10.46bn.
GTCO increased its fee and commission income by 7.09 per cent to ₦80.31bn, supported by strong growth in e-business income, credit-related fees, and asset management services. Account maintenance charges accounted for 18.82 per cent of the bank’s total fee income.
Jaiz Bank posted a 10.29 per cent increase in fee and commission revenue to ₦5.67bn, although the bank did not separately disclose account maintenance earnings.
Stanbic IBTC expanded fee and commission revenue by 30.37 per cent to ₦83.14bn, driven by asset management, brokerage, custody, and foreign currency service fees, despite a decline in account transaction charges.
Sterling Financial Holdings posted a 33.25 per cent increase in fee and commission income to ₦16.88bn. Account maintenance charges rose sharply by 38.31 per cent to ₦2.38bn, while other fees and commissions surged by 139.32 per cent.
UBA’s fee and commission income declined slightly by 3.04 per cent to ₦124.07bn as lower earnings from credit-related fees, remittance services, and transactional commissions offset gains from account maintenance charges and pension custody fees. Nevertheless, account maintenance income rose by 27.65 per cent.
Wema Bank recorded a 30.57 per cent decline in fee and commission income to ₦17.39bn, mainly due to reduced earnings from electronic product fees, financial guarantees, and foreign exchange transaction charges. However, account maintenance income still rose by 31.3 per cent.
Zenith Bank maintained one of the strongest performances in the sector, recording a 41.43 per cent increase in fee and commission income to ₦84.79bn. Account maintenance charges, which accounted for 29.57 per cent of total fee income, rose by 30.81 per cent to ₦25.07bn. The growth was further supported by higher earnings from foreign withdrawal charges, electronic banking products, and letters of credit commissions.
Speaking on the development, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr. Muda Yusuf, linked the strong banking performance to improving economic activities and growing confidence in the formal sector.
Yusuf said, “If the momentum of economic activities is growing, it reflects in the performance of the banks, particularly when we look at activities within the formal sector of the economy. The demand for banking activities is a derived demand because the demand for banking activities is in order to support economic activities.
“So if you are seeing growth in the economy, if you are seeing an improvement in business confidence in the economy, if you are seeing profitability of businesses, there is a positive correlation between what the economy is saying and what business performance is saying. All of these things are reflected in the transactions in the banks, which ultimately also reflects in the profitability of the financial institutions.”
The CPPE chief further noted that there is a strong relationship between the pace of economic activities, banking transactions, and the profitability of financial institutions.
“It is a reflection of the momentum that we are seeing in terms of economic recovery, business confidence, investors’ confidence and macroeconomic stability supporting business growth,” he concluded.
The increase in banking fees comes amid signs of improving economic performance in Nigeria. The country’s private sector expanded to a nine-month high in May 2026, with the Stanbic IBTC Purchasing Managers’ Index rising to 54.1 points, driven by stronger consumer demand, increased production levels, new product launches, and improved logistics.
Nigeria’s banking industry has also continued to benefit from ongoing reforms introduced by the Central Bank of Nigeria. Earlier in the year, the apex bank disclosed that its financial-sector reforms, including the ongoing recapitalisation programme, were strengthening the foundations of the economy.
According to the CBN, 33 banks had successfully raised additional capital as of March 2026, while 30 financial institutions had already met the new minimum capital requirements for their respective licence categories.