Nigerian banks earned N209bn from account maintenance charges as fee income nears N1 trillion in Q1 2026.
NewsOnline Nigeria reports that Nigerian banks generated a combined N209.18 billion from account maintenance charges in the first quarter of 2026, representing a 14.07 per cent increase from the N183.37 billion recorded during the same period in 2025.
An analysis of the unaudited financial statements of 11 listed lenders showed that total fee and commission income rose to N984.47 billion in Q1 2026, up by 13.64 per cent from N866.30 billion recorded a year earlier.
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The figures, compiled from the financial results of 11 of the 13 banks listed on the Nigerian Exchange, exclude FCMB Group and Unity Bank, which had yet to release their first-quarter earnings reports.
Account maintenance charges, which apply only to current accounts under the Central Bank of Nigeria’s Guide to Charges by Banks and Other Financial Institutions, remain a major source of non-interest revenue for lenders. The fee replaced the former Commission on Turnover and is intended to cover the cost of maintaining active transactional accounts.
Among the banks reviewed, Zenith Bank recorded the highest account maintenance income at N25.07 billion. Ecobank Transnational Incorporated followed with N118.06 billion generated from cash management and related fees, the closest equivalent category disclosed by the bank. Access Holdings earned N16.68 billion, Guaranty Trust Holding Company (GTCO) posted N15.12 billion, while United Bank for Africa (UBA) generated N13.26 billion.
In terms of total fee and commission income, Ecobank led the industry with N237.80 billion, followed by Access Holdings with N205.03 billion, UBA with N124.07 billion, First Holdco with N96.12 billion, and Zenith Bank with N84.79 billion.
GTCO recorded the strongest growth in account maintenance charges among banks that disclosed the figure separately, with income rising by 42.15 per cent from N10.63 billion to N15.12 billion. Sterling Financial Holdings followed with a 38.31 per cent increase to N2.38 billion, while Wema Bank’s account maintenance earnings climbed by 31.30 per cent to N3 billion.
Zenith Bank’s account maintenance income rose by 30.81 per cent to N25.07 billion, while UBA posted a 27.65 per cent increase to N13.26 billion.
For overall 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.
Not all lenders recorded gains in account maintenance revenue. Fidelity Bank’s earnings from the segment declined by 2.52 per cent to N3.24 billion, while Stanbic IBTC’s account transaction fees, its equivalent category, fell by 4.98 per cent to N1.91 billion.
Across the sector, fee income growth was driven by increased banking transactions, digital banking adoption, trade finance activities, credit-related fees, electronic banking services, brokerage operations, custody services, and foreign exchange-related transactions.
Commenting on the trend, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, attributed the rise in banking fees and commissions to improving economic activity and stronger business confidence.
According to him, increased demand for banking services is directly linked to economic growth, business expansion, and rising investor confidence.
“If the momentum of economic activities is growing, it reflects in the performance of the banks, particularly within the formal sector of the economy. The demand for banking services is derived from economic activities, and as businesses grow, banking transactions naturally increase,” Yusuf said.
He added that improving macroeconomic stability, business confidence, and ongoing economic recovery are contributing to higher transaction volumes and stronger profitability across the banking sector.
The growth in banks’ fee income coincides with broader signs of economic recovery. Nigeria’s private sector activity expanded to a nine-month high in May 2026, with the Stanbic IBTC Purchasing Managers’ Index (PMI) rising to 54.1 points, supported by stronger demand, increased production, improved logistics, and new product launches.
The banking sector has also benefited from ongoing regulatory reforms. Earlier this year, the Central Bank of Nigeria disclosed that 33 banks had successfully raised additional capital under its recapitalisation programme, with 30 institutions already meeting the revised minimum capital requirements for their respective licence categories.
Analysts say the combination of stronger economic activity, digital banking growth, and industry reforms is likely to sustain growth in non-interest income for Nigerian banks in the coming quarters.
