Banks shut branches
Nigerian banks shut down 476 branches and cash centres between 2022 and 2025, according to data from the Central Bank of Nigeria.
The figures contained in the CBN’s 2025 Statistical Bulletin for the Financial Sector showed that the number of bank branches and cash centres dropped from 5,410 in 2022 to 4,934 in 2025.
The reduction represents an 8.8 per cent fall in physical banking locations during the three-year period.
The decline became more noticeable from 2024 as banks continued to reduce their dependence on physical branches amid the growing use of digital and electronic banking services.
In 2023, the number of branches and cash centres dropped by 37 from 5,410 to 5,373. A further 229 locations were lost in 2024, bringing the figure down to 5,144.
Another 210 locations were closed in 2025, leaving 4,934 branches and cash centres nationwide.
The data showed that about 92 per cent of the total reduction happened between 2024 and 2025.
The CBN said the figures covered branches and cash centres operated by commercial banks, merchant banks and non-interest banks. The data were obtained from the apex bank and the Nigeria Deposit Insurance Corporation.
The reduction in physical branches happened despite an increase in the number of banks operating in Nigeria during part of the period. The number of banks rose from 32 in 2022 to 33 in 2023 and 35 in 2024 before dropping to 34 in 2025.
The number of Nigerian bank branches located outside the country remained at two throughout the four-year period.
Lagos recorded the highest number of branch closures among the states. The state had 1,602 branches and cash centres in 2022, but this declined to 1,532 in 2023, 1,521 in 2024 and 1,444 in 2025.
The figures mean Lagos lost 158 physical banking locations over the period, representing a 9.9 per cent reduction.
Despite the closures, Lagos continued to have the largest concentration of bank branches and cash centres in Nigeria. Its 1,444 locations in 2025 represented about 29 per cent of the national total.
The Federal Capital Territory also recorded a reduction. Abuja had 400 branches and cash centres in both 2022 and 2023, before the number fell to 391 in 2024 and 362 in 2025.
This amounted to a loss of 38 locations, representing a 9.5 per cent decline.
Ekiti recorded one of the largest percentage drops in the country. Its number of branches and cash centres fell from 107 in 2022 to 57 in 2025, meaning the state lost 50 locations during the period.
Enugu recorded a reduction of 44 locations, moving from 162 to 118, while Oyo lost 41, with its total falling from 237 to 196.
Ondo also recorded a decline from 127 locations to 105, while Plateau dropped from 80 to 61. Osun fell from 113 to 96, Cross River declined from 83 to 67, and Rivers dropped from 290 to 275.
Some northern states also experienced reductions after initially recording growth.
Kano, for instance, increased its physical banking locations from 164 in 2022 to 175 in 2023 and 183 in 2024. However, the number dropped to 157 in 2025, leaving the state with seven fewer locations than it had in 2022.
Kaduna followed a similar trend. Its branches and cash centres increased from 148 in 2022 to 156 in 2023 and 164 in 2024, before falling to 146 in 2025.
Not all states recorded closures. Delta added 23 physical banking locations, increasing from 173 in 2022 to 196 in 2025.
Edo also recorded an increase from 155 to 165 locations, while Jigawa rose from 31 to 37 and Kogi increased from 63 to 68.
The figures also showed a wide gap in the distribution of physical banking facilities across Nigeria.
While Lagos had 1,444 branches and cash centres in 2025, Yobe had only 23. Taraba had 26, Zamfara had 28, while Bayelsa and Gombe had 31 each. Ebonyi had 32 locations.
The trend comes as banks and regulators increasingly encourage customers to use electronic and alternative payment channels for financial transactions.
The CBN has recently called for wider use of alternative payment systems as part of efforts to improve access to financial services and support economic activity.
The call was made at the 2026 CBN Fair in Lokoja, Kogi State, where the Acting Director of the Corporate Communications and Investor Relations Department, Hakama Sidi-Ali, spoke on the need to expand access to alternative payment options.
She was represented at the event by Zubairu Salihu, the Branch Controller of the CBN Lokoja Branch.
The CBN said alternative payment channels could be particularly useful to farmers, traders, small businesses and people operating in the informal sector who may not have easy access to traditional bank branches.
The steady reduction in physical banking locations suggests that more financial services are moving away from traditional branches as customers increasingly rely on electronic channels for payments, transfers and other banking activities.
