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Nigeria’s deposit money banks increased spending on advertising, promotions and corporate gifts by 5.35 per cent to N76.54bn in the first quarter of 2026, up from N72.65bn recorded in the corresponding period of 2025.
An analysis by The PUNCH of the unaudited financial statements of 11 banks showed that the increase amounted to N3.89bn year-on-year, as lenders intensified spending on marketing and promotional activities.
The average marketing expenditure among the banks rose to N6.96bn in Q1 2026 from N6.60bn in Q1 2025, representing a 5.35 per cent increase or 1.05 times the previous year’s average. This means the increase did not amount to a full order of magnitude, which would require spending to rise by at least 10 times.
United Bank for Africa recorded the biggest marketing expenditure during the period, spending N15.68bn, up from N5.65bn in Q1 2025, representing a 177.69 per cent increase.
Fidelity Bank followed with N26.19bn, despite recording a 3.86 per cent decline from N27.24bn, while First HoldCo spent N13.58bn, down 29.07 per cent from N19.14bn.
Zenith Bank ranked next with N6.15bn, rising by 28.72 per cent from N4.77bn, while Access Holdings spent N4.14bn, down 6.25 per cent from N4.42bn.
Among the banks that increased their marketing expenditure, Jaiz Bank recorded the highest percentage growth, with spending jumping 1,623.60 per cent from N30.72m to N529.49m.
Sterling Financial Holdings followed with a 177.83 per cent increase, from N433m to N1.20bn, while UBA recorded a 177.69 per cent increase to N15.68bn.
The other banks that increased spending included Zenith Bank, which raised its expenditure 28.72 per cent to N6.15bn; Stanbic IBTC Holdings, which increased spending 25.54 per cent to N2.78bn; and Wema Bank, whose expenditure rose 16.75 per cent to N1.13bn.
However, five banks reduced their marketing expenditure during the period.
FCMB Group recorded the largest absolute reduction among them, cutting spending 38.55 per cent from N3.80bn to N2.33bn. First HoldCo reduced spending 29.07 per cent to N13.58bn, while Guaranty Trust Holding Company cut expenditure 29.01 per cent from N4bn to N2.84bn.
Fidelity Bank reduced spending 3.86 per cent to N26.19bn, while Access Holdings recorded a 6.25 per cent decline to N4.14bn.
The spending pattern comes months after the Central Bank of Nigeria tightened its regulatory requirements for bank advertising and promotional activities.
In a November 2025 letter to banks, payment service banks and other financial institutions, the apex bank said its thematic review had identified variations in how financial institutions interpreted and applied disclosure, transparency and fair-marketing requirements.
The CBN directed banks to ensure that advertisements remained factual, balanced and transparent, while prohibiting claims that could mislead consumers, obscure risks or create unfair comparisons.
The regulator also warned financial institutions against exaggerating benefits, omitting material information or using unaudited financial statements in advertisements.
“Comparative, superlative, or de-marketing statements (direct or implied) are not permitted,” the CBN stated.
It also directed institutions to withdraw non-compliant advertisements and submit compliance attestations signed by their managing directors or chief executive officers, executive compliance officers and chief compliance officers.
The CBN said it would commence follow-up reviews from January 2026 and impose sanctions for breaches in line with the Banks and Other Financial Institutions Act 2020 and the Consumer Protection Regulations.
Meanwhile, Fidelity Bank’s financial statements housed its marketing under prepayments, including expenses whose benefits covered future periods, including insurance premiums, adverts and publicity, computer expenses and subscriptions.
The figures indicate that despite tighter regulatory scrutiny of financial-sector advertising, banks collectively expanded their marketing expenditure in Q1 2026, with UBA accounting for the largest increase in actual naira terms at N10.04bn.
The increase by UBA alone exceeded the combined reductions recorded by Access Holdings, Fidelity Bank, FCMB Group, First HoldCo and GTCO, which together cut their spending by about N9.51bn
Punch
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