JPMorgan wants to open a merchant bank in Nigeria before the year ends, but it still needs approval from the Central Bank of Nigeria (CBN).
Dapo Olagunji, the bank’s managing director for West Africa, disclosed the plan on 8 October at the Nigeria–Asia Financial Connectivity Dialogue in Singapore. The CBN convened the event with JPMorgan, the Nigerian Exchange Group (NGX) and FMDQ Group. Reports of the announcement say the launch depends on regulatory approval. Details on services, capital and structure have not been disclosed.
That makes this a statement of intent, not a licence. Roughly 12 weeks separate the announcement from the bank’s year-end target.
A bigger bet on a market it already covers
JPMorgan is not new to Nigeria. It has kept a representative office in the country for decades. Brand Spur reported that in April 2025 the bank intended to convert its Lagos office into a full branch and seek a merchant banking licence from the CBN.
The timing follows a run of good macro news. On 15 September, JPMorgan added Nigeria to its Government Bond Index–Emerging Markets Edge with a 7.4 percent weighting. CBN Governor Olayemi Cardoso put gross reserves at $55.07 billion on 8 October, according to Serrari Group. Fitch Ratings recently moved Nigeria’s outlook to positive from stable while affirming its B rating, Business Tech Africa reported.
Cardoso told the Singapore audience that the task is building enough confidence for capital to stay, return and grow, Africa Briefing reported. A JPMorgan merchant bank would be one test of that claim.
What a merchant bank actually does
Nigeria’s merchant banking model centres on wholesale services such as corporate finance, debt structuring and trade finance, Legit.ng reported. That points the likely early customers at large companies and institutions. Retail savers and small businesses are not the target.
Africa Briefing noted that a nationally licensed merchant bank must hold at least ₦50 billion in qualifying capital under CBN rules. It also cautioned that the plan shows interest in Nigeria’s market, not money already flowing to businesses. That distinction matters for founders hoping the announcement means cheaper credit.
Why fintech should watch the licence
The tech link is already visible. Trends Africa reported that Bloomberg found JPMorgan among three institutions OPay hired in May as it prepared a potential US IPO. OPay has since filed for a New York listing and reportedly secured board and shareholder approval for a later NGX listing, according to Techpoint Africa.
A local merchant bank could put listing and debt advice closer to Nigerian fintechs. That is a possibility, not a promise. JPMorgan has not said whether it will pursue technology clients, and a wholesale focus favours companies already operating at scale.
The approval question
The CBN holds the decision. The regulator had not publicly responded to the plan in the reports TechMoonshot reviewed. Without a published capital figure or service list, nobody can yet judge how large the new business will be.
Watch for three signals: a CBN licence decision, a disclosed capital commitment, and the first named mandates. If the year-end target slips, the JPMorgan Nigeria merchant bank will join a long list of foreign announcements that outran their approvals. If it holds, Nigerian fintechs eyeing public markets will have a new adviser on home soil.
