CBN: NIGERIAN BANKS CLOSED 476 BRANCHES IN THREE YEARS
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By:Aminat Tajudeen
Deposit Money Banks in Nigeria shut down a net 476 branches and cash centres between 2022 and 2025, resulting in an 8.8 per cent reduction in their physical banking outlets, according to data from the Central Bank of Nigeria.
The CBN’s 2025 Statistical Bulletin for the Financial Sector showed that the number of bank branches and cash centres nationwide dropped from 5,410 in 2022 to 4,934 in 2025.
The decline occurred despite an increase in the number of banks operating in the country during the period, indicating a steady shift away from traditional brick-and-mortar banking.
An analysis of the figures showed that 37 banking locations were lost between 2022 and 2023, as the total fell from 5,410 to 5,373. The contraction became more pronounced in 2024, when 229 locations were closed, reducing the total to 5,144.
Another 210 locations were shut in 2025, bringing the nationwide figure down to 4,934.
The CBN stated that the figures covered branches and cash centres operated by commercial, merchant and non-interest banks, with the data sourced from the apex bank and the Nigeria Deposit Insurance Corporation.
About 92 per cent of the total 476-location decline recorded over the three-year period occurred in 2024 and 2025.
The contraction came despite the number of banks increasing from 32 in 2022 to 33 in 2023 and 35 in 2024, before dropping slightly to 34 in 2025. Meanwhile, the number of bank branches operated outside Nigeria remained at two throughout the period.
Lagos recorded the largest decline in physical banking outlets. The state had 1,602 branches and cash centres in 2022, but the figure fell to 1,532 in 2023, 1,521 in 2024 and 1,444 in 2025.
This represented a net loss of 158 locations, or 9.9 per cent, making Lagos responsible for roughly one-third of the nationwide decline.
Despite the reduction, Lagos remained the country’s leading hub for physical banking, accounting for about 29 per cent of the 4,934 branches and cash centres nationwide in 2025.
The Federal Capital Territory also experienced a decline, with its banking locations remaining at 400 in 2022 and 2023 before falling to 391 in 2024 and 362 in 2025. This amounted to a net reduction of 38 locations, representing a 9.5 per cent decline.
Ekiti recorded one of the sharpest contractions, as its physical banking network dropped from 107 locations in 2022 to just 57 in 2025, representing a 46.7 per cent decline.
Enugu lost 44 locations, dropping from 162 to 118, while Oyo declined by 41, from 237 to 196. Ondo fell from 127 to 105, Plateau from 80 to 61, Osun from 113 to 96, Cross River from 83 to 67 and Rivers from 290 to 275.
Some northern states also recorded declines despite earlier increases. Kano’s banking locations rose from 164 in 2022 to 175 in 2023 and 183 in 2024, before falling sharply to 157 in 2025. Kaduna followed a similar trend, increasing from 148 in 2022 to 156 in 2023 and 164 in 2024 before declining to 146 in 2025.
However, some states expanded their physical banking networks. Delta recorded the largest increase, rising from 173 locations in 2022 to 196 in 2025. Edo increased from 155 to 165, while Jigawa rose from 31 to 37 and Kogi from 63 to 68.
The figures also highlighted significant disparities in the distribution of banking infrastructure across the country. While Lagos had 1,444 branches and cash centres in 2025, Yobe had only 23, Taraba 26 and Zamfara 28. Bayelsa and Gombe had 31 each, while Ebonyi recorded 32.
The continued decline in physical banking outlets reflects the industry’s growing shift towards digital and electronic banking channels.
The CBN has also encouraged increased adoption of alternative payment channels to widen access to financial services and support economic activities, particularly among farmers, traders, small businesses and operators in the informal sector who may have limited access to conventional banking facilities.
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