Zenith Bank Retains Spot as Number One Tier-1 Bank in Nigeria

The Banker Magazine has announced Zenith Bank Plc as the number one bank in Nigeria by Tier-1 Capital after the lender climbed 29 spots in the 2020 Top 1000 World Banks Ranking.

The magazine, in its latest ranking, stated that Zenith Bank moved from 415 in 2019 to 386 in the 2020 global ranking of banks.

The ranking, published in the July 2020 edition of The Banker Magazine of the Financial Times Group, United Kingdom, was based on the 2019 year-end Tier-1 capital of banks globally.

In the report, it was disclosed that Zenith Bank maintained its top spot in Nigeria with Tier-1 Capital of $2.79 billion, higher than the $2.40 billion recorded in the 2019 rankings by 16.1 percent.

Tier 1 capital describes the capital adequacy of a bank, and it is the core measure of a bank’s financial strength from a regulator’s point of view.

According to the ranking, Tier 1 Capital, as de?ned by the latest BIS guidelines, includes loss-absorbing capital, i.e. common stock, disclosed reserves, retained earnings and minority interests in the equity of subsidiaries that are less than wholly owned.

In the ranking report, it was emphasised that Zenith Bank extended its lead over the second-placed bank in Nigeria as its financial performance for the year was underpinned by a 29 percent increase in non-interest income, with an improved market share in both retail and corporate sectors.

In his reaction, the GMD/CEO of Zenith Bank, Mr Ebenezer Onyeagwu, asserted that, “This ranking, which further attests to our market leadership, is the outcome of a well-thought-out strategy of always delighting and creating value for our teeming customers through a broad range of superior product offerings, best-in-class service and top-of-the-range technology.”

Zenith Bank has clearly distinguished itself in the Nigerian financial services industry through superior service quality, unique customer experience and sound financial indices.

The bank, with a knack for setting the pace and raising benchmarks, is a clear leader in the digital space with several firsts in the deployment of innovative products, solutions and an assortment of alternative channels that ensure convenience, speed and safety of transactions.

As a testament to its resilience and market leadership, Zenith Bank announced an impressive result for the year ended December 31, 2019, with profit after tax (PAT) of N208.8 billion, achieving the feat as the first Nigerian Bank to cross the N200 billion mark.

In the recently released Q1 2020 unaudited financial results, the bank also recorded an improved result over the corresponding period in 2019, with gross earnings rising by 6 percent to N166.8 billion and profit before tax (PBT) growing 3 percent to N58.8 billion.

Consistent with this excellent performance and in recognition of its track record of exceptional performance, Zenith Bank was ranked as the Best Commercial Bank in Nigeria 2019 by the World Finance and the Best Digital Bank in Nigeria 2019 by Agusto & Co.

The bank was also voted as Bank of the Year and Best Bank in Retail Banking at the 2019 BusinessDay Banks and other Financial Institutions (BAFI) Awards.

Most recently, the bank was recognized as the Most Valuable Banking Brand in Nigeria, for the third consecutive year, in the Banker Magazine ‘Top 500 Banking Brands 2020’, Best Bank in Nigeria in the Global Finance ‘World’s Best Banks Awards 2020’ and the Bank of the Decade (People’s Choice) at the ThisDay Awards 2020.