Nigeria: Tinubu, Cardoso's reforms drove my $201mln investment in First Bank —Otedola
Billionaire investor Femi Otedola has credited President Bola Ahmed Tinubu's economic reforms and Central Bank of Nigeria (CBN), Governor Yemi Cardoso's policy initiatives for creating the enabling environment that led to his N320 billion investment in First Bank.
Speaking at the 13th Annual General Meeting (AGM) of FBN Holdings Plc, the holding company of First Bank, Otedola revealed that the investment was entirely self-funded and marks a strategic commitment to rebuild Nigeria's oldest bank into a dominant financial force across Africa.
'This journey aligns closely with the bold and visionary leadership of President Bola Ahmed Tinubu, who deserves credit for championing the tough but necessary reforms in our economy,' said Otedola, who currently serves as Chairman of First Holdco Plc.
'I also commend the Governor of the Central Bank of Nigeria, Mr. Yemi Cardoso, for his courageous and pragmatic policy reforms. His actions are restoring credibility to the financial system and giving investors like me the confidence to commit long-term capital to this country.'
Otedola emphasized that the current business climate, shaped by structural reforms and a more disciplined financial sector, has rekindled investor interest in Nigeria's long-term prospects.
Recounting his journey, Otedola disclosed that he began investing in First Bank in 2021 after exiting his interest in Forte Oil Plc. He stated that his acquisition was far from a speculative move, but rather a calculated strategy to transform the institution into a well-governed, digitally robust, and profitable bank.
'This was not a gamble; it was a calculated, strategic move to rebuild First Bank into a modern, well-governed, and highly profitable institution,' he said.
He confirmed that his total investment already exceeds N320 billion—all in cash and without any borrowed funds—and that more capital will be injected as First Holdco prepares for its next capital raise. 'By the end of the capital raise, my personal investment will surpass N320 billion. I am confident the bank will meet its recapitalization target well ahead of the Central Bank's deadline,' he added.
Otedola also used the AGM to reinforce his role as an activist shareholder with a zero-tolerance approach to corporate excess and inefficiency. 'My mandate is clear: curb excesses and wastages—no splurging on private jets, unchecked executive luxuries, etc. Protect depositors' funds, deliver strong returns to shareholders, and contribute meaningfully to the society and environment we serve and operate in.'
He declared that the era of executive excesses is over, with strong corporate governance, responsible lending, and operational discipline set to define the bank's new era. 'We will dominate Africa's banking space,' Otedola said confidently.
Outlining his vision, he announced plans to scale up First Bank's digital infrastructure, expand its international footprint, and enhance its lending capacity. 'Let me say it again: First Bank will not just compete—it will dominate. Within the next four years, we will be one of Africa's top banks—not just by asset size, but by value creation, governance standards, and strategic impact.'
Drawing a parallel with his turnaround success at Geregu Power Plc—now responsible for 10% of Nigeria's electricity output—Otedola expressed confidence that First Bank is on a similar path. 'I have done this before. I know what it means to fail, rise up, and win. First Bank is no different. It's a turnaround with a purpose, and we are well on our way.'
Otedola's bold move signals renewed confidence in Nigeria's banking sector, especially amid regulatory calls for stronger capital buffers and stricter governance. His endorsement of Tinubu and Cardoso's reforms is likely to strengthen market sentiment among local and international investors.
'We are back. We are profitable. And we remain on course in our aggressive pursuit to be the foremost financial institution in Africa,' he concluded.
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