Updated on October 23, 2026
The Central Bank of Nigeria granted J.P. Morgan approval in principle on Friday, October 23, to establish J.P. Morgan Merchant Bank Nigeria Limited, the first regulatory step in a process that does not yet allow the proposed lender to begin operations.
The US group must still incorporate the company with the Corporate Affairs Commission, complete the required operational and regulatory arrangements and obtain a final banking licence. The central bank gave no opening date or timetable for the final authorisation.
The regulator also approved the appointment of Adedapo Olagunju as managing director of the proposed bank. Dapo Olagunju, who leads J.P. Morgan’s West African operations, said at an October 8 event in Singapore that the group aimed to open the bank before the end of 2026, subject to regulatory approval.
The merchant bank is expected to focus on corporate and institutional clients through wholesale banking, capital markets and advisory services. Its model differs from a commercial bank serving individual accounts and deposits.
The approval moves the project from an announced intention to the first completed regulatory stage. J.P. Morgan already operates a representative office in Lagos, while the proposed entity would broaden its ability to conduct financing and capital-market transactions directly in Nigeria.
The Central Bank of Nigeria linked the decision to banking-sector recapitalisation and reforms intended to strengthen financial stability. The approval in principle remains conditional, and only a final licence will allow the bank to start business.