Nigeria's Top 5 Banks Double Staff Wage Bills in 2025, Full Breakdown Released
Nigeria's largest tier-one lenders, collectively known as the FUGAZ banks, have recorded substantial increases in personnel expenses for the 2025 financial year, according to recent financial statements. The data reveals that all five banks experienced rises in staff-related costs compared to 2024, reflecting higher wages, benefits, and retention-driven compensation amid Nigeria's inflationary environment and expanded hiring initiatives.
Collective Spending Reaches N1.23 Trillion
Analysis of the latest financial statements on the Nigerian Exchange shows that the five banks collectively spent an estimated N1.23 trillion on personnel costs in their latest reporting periods. This significant expenditure underscores the growing investment in human capital within Nigeria's banking sector, which continues to dominate the stock market with over 70% of customer deposits and leading profitability metrics.
The FUGAZ acronym represents the top five, largest, and most systemically important tier-one banks in Nigeria: First HoldCo Plc, United Bank for Africa (UBA), Guaranty Trust Holding Company (GTCO), Access Bank, and Zenith Bank. These institutions are recognized for their market influence and comprehensive service offerings across the financial landscape.
Individual Bank Breakdown
First HoldCo Plc reported personnel expenses of N385.91 billion for the year ended December 31, 2025, up from N308.47 billion in the corresponding period of 2024. Although its fourth-quarter personnel costs stood at N96.99 billion, this was slightly lower than the N98.07 billion recorded a year earlier, indicating some seasonal variation in expenditure patterns.
United Bank for Africa (UBA) reported wages and salaries of N256.61 billion for the period ended September 2025, compared with N216.04 billion in the same period of 2024. The increase reflects continued expansion across its pan-African operations, as the lender sustains investment in human capital to support growth and enhance service delivery across multiple markets.
Guaranty Trust Holding Company (GTCO) recorded personnel expenses of N101.05 billion for the full year ended December 2025, up from N85.40 billion in 2024. This rise demonstrates the bank's commitment to maintaining competitive compensation packages amid industry-wide salary adjustments and inflationary pressures affecting operational costs.
Access Bank reported personnel expenses of N358.56 billion for the nine months ended September 2025, compared with N282.18 billion in the same period of 2024. The substantial increase highlights the bank's strategic focus on talent retention and expansion of its workforce to support business growth and customer service initiatives.
Zenith Bank similarly reported personnel expenses of N182.08 billion for the nine months ended September 2025, up from N150.67 billion in 2024. This upward trend aligns with broader sector movements toward enhanced employee compensation and benefits packages designed to attract and retain skilled professionals in a competitive market environment.
Context and Industry Developments
The increases in personnel expenses occur against a backdrop of rising inflation in Nigeria, which has prompted salary adjustments across various sectors. Additionally, many banks have expanded their hiring activities to support digital transformation initiatives, customer service enhancements, and geographic expansion, particularly in pan-African markets where institutions like UBA maintain significant operations.
These financial disclosures come as the Central Bank of Nigeria (CBN) continues to oversee the banking sector's stability and growth. Recently, Bank78 MFB commenced operations as a private digital lender in Nigeria, fully licensed by the CBN and insured by the Nigeria Deposit Insurance Corporation (NDIC). The new bank emphasizes transparency, security, and dependable transactions while targeting mass-affluent customers with premium digital banking experiences.
The personnel expense trends among FUGAZ banks signal ongoing investments in human capital as a strategic priority, ensuring that Nigeria's leading financial institutions remain competitive both domestically and internationally while navigating economic challenges and opportunities in the evolving financial landscape.
