In the first half of 2023, account maintenance fees brought in N72.723 billion for 11 banks that are listed on the Nigerian Exchange floor.
The Times reported that this is based on information taken from the listed commercial banks’ half-year financial statements on the Nigerian stock exchange.
Access Holdings, GTCO, UBA, Zenith Bank, and GTCO took the lead. The revenue from account maintenance fees in the first half of 2023 increased by 7.44% from the N67.690 billion seen in the same period of 2022.
The CBN’s rule on bank fees states that Nigerian banks may charge their clients a “negotiable” N1 per mille.
As a result, banks may charge N1 for every N1,000 in debit transactions made on current accounts.
Account maintenance fees are paid by banks in the form of COT which is a fee assessed by the banks on customer withdrawals.
The 11 banks are ranked below based on how much money they made from account maintenance in the first half of 2023.
6. FCMB with N3.85 billion
With account maintenance revenue of N3.85 billion, which is 16.3% more than the N3.32 billion recorded in the similar period of 2022, FCMB ranked sixth on the list.
Among the 11 banks under consideration, FCMB’s account maintenance revenue makes up 5.3% of the total N72.723 billion recorded. In terms of the bottom line, FCMB increased its profit after tax during the review period by 159.17% year over year to N35.410 billion.
5. First Bank with $5.19 billion
Account maintenance revenue for First Bank of Nigeria fell by 43.5% from the N9.17 billion it made in the first half of 2022. This amounts to 7.13 percent of the 11 banks’ combined revenue from account management.
Its earnings after tax dramatically grew year over year by 231% to N187.18 billion in the first half of 2023 from N56.54 billion in the previous year.
4. UBA with N9.64 billion
Between January and June 2023, account maintenance income for UBA totaled N9.64 billion. This is a rise of 46.11% compared to N6.595 billion recorded in the corresponding period of 2022.
Additionally, UBA’s net profit climbed noticeably by 437.76% to N378.24 billion from N70.335 billion reported as of the same period in the previous year.
3. GTCO with N10.481 billion
In the first half of 2023, GTCO’s account maintenance income increased 11.08% year over year to N10.481 billion from N9.44 billion in the first half of 2022.
Additionally, the holding firm increased its earnings after tax from N77.56 billion last year to N280.48 billion this year, a 261.65% year-over-year gain.
2. Access Holdings with N13.363 billion
In the first half of 2023, Access Holdings’ account maintenance income increased by 10.97% year over year to N13.363 billion, placing the business in second place overall.
Additionally, UBA’s net profit climbed noticeably by 437.76% to N378.24 billion from N70.335 billion reported as of the same period in the previous year.
The holding firm, however, places fifth in terms of growth in earnings before taxes. In H1 2023, the bank’s PAT increased by 52.37% to N135.441 billion.
1. Zenith Bank with $21,02,000,000
With N21.02 billion in account maintenance revenue or 28.91% of the total income of the 11 banks, Zenith Bank is comfortably in first place. When compared to N19.77 billion in revenue from account maintenance during the first half of 2022, Zenith Bank saw an increase of 6.32%.
The tier-1 powerhouse also reported a year-over-year 162% growth in earnings after tax, going from N111.413 billion to N291.73 billion in the same period of 2022.
Others were:
Stanbic IBTC – N2.643 billion
Sterling Bank – N2.392 billion
Fidelity Bank – N1.769 billion
Wema Bank – N1.636 million
Unity Bank – N745 million
