Nigeria’s deposit money banks increased spending on advertising, promotions and corporate gifts by 5.35 per cent to N76.54 billion in the first quarter of 2026, despite tighter regulatory requirements governing financial-sector advertising.
An analysis of the unaudited financial statements of 11 banks showed that the combined expenditure rose by N3.89 billion from N72.65 billion recorded in the corresponding period of 2025.
United Bank for Africa recorded the largest increase in naira terms, with its spending rising by 177.69 per cent to N15.68 billion from N5.65 billion a year earlier.
The N10.04 billion increase at UBA was larger than the combined reductions recorded by Access Holdings, Fidelity Bank, FCMB Group, First HoldCo and Guaranty Trust Holding Company, which together cut their spending by about N9.51 billion.
Jaiz Bank recorded the fastest percentage growth among the lenders, with its expenditure jumping 1,623.60 per cent to N529.49 million from N30.72 million.
Sterling Financial Holdings followed, increasing its spending by 177.83 per cent to N1.20 billion from N433 million.
Zenith Bank raised its expenditure by 28.72 per cent to N6.15 billion, while Stanbic IBTC Holdings increased spending by 25.54 per cent to N2.78 billion. Wema Bank also recorded a 16.75 per cent increase to N1.13 billion.
However, several lenders reduced spending during the period.
First HoldCo cut its expenditure by 29.07 per cent to N13.58 billion from N19.14 billion, while FCMB Group recorded the largest absolute reduction among the decliners, cutting spending by 38.55 per cent to N2.33 billion.
GTCO reduced its expenditure by 29.01 per cent to N2.84 billion, while Access Holdings cut spending by 6.25 per cent to N4.14 billion. Fidelity Bank recorded a 3.86 per cent decline to N26.19 billion.
The increase in bank marketing expenditure came months after the Central Bank of Nigeria tightened requirements for advertising and promotional activities across the financial sector.
In a circular issued on November 27, 2025, the CBN said advertisements by banks, payment service banks and other financial institutions must be factual, balanced, transparent and free from misleading impressions. The regulator also prohibited comparative, superlative and de-marketing claims, whether direct or implied.
The directive further prohibited institutions from exaggerating product benefits, omitting material information and using unaudited financial statements in promotional materials. Institutions were also required to withdraw non-compliant advertisements and submit compliance attestations signed by senior management and compliance officers.
The CBN said it would conduct follow-up reviews from January 2026 and apply sanctions for breaches under applicable banking and consumer-protection rules.
The Q1 figures show that tighter rules on advertising did not translate into an overall reduction in banks’ spending on promotional activities. Instead, expenditure across the 11 lenders increased modestly year-on-year, although spending patterns varied significantly between institutions.
A comparison of the figures also requires some caution because banks do not always classify marketing-related expenses in exactly the same way. Fidelity Bank, for example, reported its marketing-related expenditure within prepayments, alongside expenses including insurance premiums, advertising and publicity, computer expenses and subscriptions.
Overall, the figures point to continued investment in advertising and promotional activities across Nigeria’s banking industry, even as the CBN places greater emphasis on accuracy, transparency and consumer protection in financial marketing.
