Post by Michael Shittu (@michael_shittu)

Banks make N209bn from account maintenance fees in three months

By
Arinze Nwafor

Nigerian banks earned a combined N209.18bn from account maintenance charges in the first quarter of 2026, representing a 14.07 per cent increase from the N183.37bn recorded in the corresponding period of 2025, an analysis of the unaudited financial statements of 11 listed lenders by The PUNCH has shown.

The review also showed that total fee and commission income rose to N984.47bn in Q1 2026 from N866.30bn in Q1 2025, indicating a 13.64 per cent year-on-year increase.

The figures, drawn from the results of 11 of the 13 banks listed on the Nigerian Exchange, exclude FCMB Group and Unity Bank, which had yet to publish their unaudited first-quarter financial statements.

Account maintenance fees are regulated charges applicable only to current accounts, according to the Central Bank of Nigeria’s Guide to Charges by Banks and Other Financial Institutions. The fee replaced the former Commission on Turnover and is intended to enable banks to recover the cost of operating active transactional accounts.

An analysis of the banks’ earnings showed that Zenith Bank generated the highest account maintenance income at N25.07bn, followed by Ecobank Transnational Incorporated with N18.06bn recorded under cash management and related fees, which serves as the closest disclosed equivalent. Access Holdings posted N16.68bn, Guaranty Trust Holding Company earned N15.12bn, while United Bank for Africa generated N13.26bn.

In terms of total fee and commission income, Ecobank led the pack with N237.80bn, followed by Access Holdings with N205.03bn, UBA with N124.07bn, First Holdco with N96.12bn and Zenith Bank with N84.79bn.

Among lenders that disclosed account maintenance income separately, GTCO recorded the fastest growth, with charges rising by 42.15 per cent from N10.63bn to N15.12bn.

Sterling Financial Holdings followed with a 38.31 per cent increase to N2.38bn, while Wema Bank’s account maintenance earnings rose by 31.30 per cent to N3bn. Zenith Bank posted a 30.81 per cent increase to N25.07bn and UBA recorded a 27.65 per cent rise to N13.26bn.

For total fee and commission income, Zenith Bank recorded the strongest growth at 41.43 per cent, followed by Fidelity Bank at 39.70 per cent, Sterling Financial Holdings at 33.25 per cent, Stanbic IBTC Holdings at 30.37 per cent and First Holdco at 23.67 per cent.

However, not all lenders recorded growth in account maintenance income. Fidelity Bank’s earnings from the line declined by 2.52 per cent to N3.24bn from N3.33bn, while Stanbic IBTC’s account transaction fees, its closest equivalent to account maintenance charges, fell by 4.98 per cent to N1.91bn from N2.01bn.

The PUNCH also found mixed performance across other fee-generating lines.

Access Holdings grew fee and commission income by 17.5 per cent to N205.03bn, driven by credit-related fees, bills and letters of credit, and e-business income. Account maintenance income rose modestly by 4.1 per cent to N16.68bn.

Ecobank’s fee and commission income increased by 7.72 per cent to N237.80bn, supported by brokerage fees, portfolio management fees and cash management-related charges, which accounted for almost half of total fee income.

Fidelity Bank recorded a 39.7 per cent increase in fee and commission income to N33.28bn, largely driven by ATM charges, Fidelity Connect commissions and letters of credit fees. Account maintenance charges declined despite the strong overall growth.

First Holdco grew fee and commission income by 23.67 per cent to N96.12bn, with strong contributions from credit-related fees, brokerage income, custodian fees and financial advisory services. Account maintenance charges rose by 17.38 per cent to N10.46bn.

GTCO increased fee and commission income by 7.09 per cent to N80.31bn, supported by strong growth in e-business income, credit-related fees and asset management fees. Account maintenance charges contributed 18.82 per cent of total fee income.

Jaiz Bank recorded a 10.29 per cent increase in fee and commission revenue to N5.67bn, although it did not separately disclose account maintenance charges.

Stanbic IBTC expanded fee and commission revenue by 30.37 per cent to N83.14bn, driven by asset management, brokerage, custody and foreign currency service fees. Its account transaction fees declined by 4.98 per cent.

Sterling Financial Holdings posted a 33.25 per cent increase in fee and commission income to N16.88bn. Account maintenance fees rose by 38.31 per cent to N2.38bn, while other fees and commissions surged by 139.32 per cent.

UBA’s fee and commission income declined by 3.04 per cent to N124.07bn as lower earnings from credit-related fees, remittance fees and transactional service commissions offset gains from account maintenance charges and pension custody fees. Account maintenance income rose by 27.65 per cent.

Wema Bank’s fee and commission income fell by 30.57 per cent to N17.39bn due mainly to decline

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