…Capital strength, expansion drive lift lender above continental competitors
Zenith Bank has recorded the highest brand value growth among African lenders on the back of strong capital buffers, growing earnings and an aggressive expansion strategy, according to a BusinessDay analysis of Brand Finance's latest report.
The lender's brand value rose 33.6 percent to $380 million in 2026 from $284.75 million a year earlier, marking a sharp rebound from the 15.5 percent decline recorded in 2025. The performance puts Zenith ahead of Capitec Bank of South Africa and peers across the continent.
The London-based brand valuation consulting firm, which applies the royalty relief methodology to estimate the economic value of brands based on future earning potential, assessed 22 African banks from February 2025 to February 2026.
Mauritius' MCB Group and Nigeria's FirstBank stood second and third with brand value growth of 30.3 per cent and 29.6 per cent respectively, while Access Bank was the only lender in the ranking to register a decline of 3.9 per cent.
“The rapid expansion of Zenith Bank’s banking brand is driven by its strong tier one capital position and the continued growth of its gross earnings, underpinned by a resilient strong balance sheet that has successfully navigated regional currency volatility through decisive digital innovation and strategic international expansion,” said Babatunde Odumeru, Managing Director of Brand Finance Nigeria.
Capital boost and strategic change
The bank's performance comes amid a massive recapitalization exercise led by the Central Bank of Nigeria, which mandates a minimum capital threshold of N500 billion for international banks.
The policy, introduced in 2024, echoes the historic consolidation of 2004 under the leadership of Charles Soludo, which reduced the number of banks and consolidated the sector. According to CBN Governor Olayemi Cardoso, Nigerian lenders have collectively raised N4.61 trillion ahead of the March 31, 2026 deadline.
Zenith has completed its capital raising by raising over N350 billion through rights issues and public offers. Its share capital now stands at N614 billion, which is well above the regulatory limit.
Expansion beyond Nigeria
Apart from consolidating capital, Zenith is accelerating its international expansion as it looks to diversify earnings.
The bank has announced plans to enter Ethiopia – one of Africa's last major untapped banking markets – as it aims to generate half of its profits outside Nigeria in the medium term. In January, the country's top lender by market capitalization (as of March 26) received regulatory approval Competition Authority of Kenya To acquire 100 percent of Paramount Bank Limited, marking its entry into the Kenyan financial market.
Data cited by The Africa Report shows that profits from foreign subsidiaries rose from 27 percent in the first nine months of 2025 to 14 percent in 2024, indicating a gradual shift away from its historical dependence on the domestic market.
“Expansion outside Nigeria is primarily a diversification strategy,” said Gloria Fadipe, head of research at CSL Stockbrokers. “The Nigerian banking market is deeply regulated, which may limit performance.”
Zenith is also preparing for a possible listing on the London Stock Exchange by 2027, a move that would deepen access to global capital and align with a broader trend of African banks tapping international markets.
The strategy mirrors that of Guaranty Trust Holding Company, which became the first Nigerian lender to list on the exchange in 2025, raising about $105 million.
The planned listing coincides with the opening of Zenith's new branch in Manchester, expanding its presence in the United Kingdom beyond London. The hub will focus on corporate banking, trade finance and treasury services, particularly for businesses operating along the UK-Africa corridor.
Nigeria drives continental momentum
Zenith’s performance reflects a broader trend among Nigerian lenders, which has recorded the highest brand value growth across Africa this year.
Access, GTCO, Zenith, United Bank for Africa and FirstBank recorded a combined brand value of $1.8 billion, up 14.7 percent from $1.57 billion in 2025 – accelerating from 5.37 percent growth last year.
This represents a 9.33 percentage-point increase, outpacing Egyptian banks, which recorded 8.87 percentage points, while lenders in Kenya, South Africa and Morocco recorded negative growth.
“The appreciation in value of Nigerian banking brands in 2026 is primarily driven by revenue diversification strategies as well as intensive capital strengthening to meet central bank requirements, resulting in increased non-interest income such as commission revenues; and digital transformation initiatives that have strengthened customer loyalty and brand strength,” Odumeru said.
Looking ahead, he expects the momentum to continue as banks shift from capital raising to deployment. “They are transitioning to a high-growth deployment phase, leveraging strong balance sheets and projected decade-high GDP growth of 4.4 percent to drive credit expansion and digital revenues.”
