RismadarVoice Reporters
March 27, 2026
The Central Bank of Nigeria (CBN) has moved to reassure depositors and investors that Union Bank of Nigeria remains stable and fully operational, following a Federal High Court ruling that nullified its 2024 intervention in the bank.
The judgement, delivered on March 25, 2026, reversed the apex bank’s earlier regulatory action by reinstating Union Bank’s previous board and core investors, a decision that has stirred reactions across the banking sector.
In a statement issued on Thursday, the CBN emphasized that the development would not disrupt the bank’s operations or affect customers’ funds.
“The Central Bank of Nigeria wishes to assure all depositors and stakeholders that Union Bank of Nigeria remains stable and continues its day-to-day operations without interruption. Our primary mandate remains the protection of depositor funds and the maintenance of the overall integrity of the financial system,” the statement read.
The court ruling centred on the legality of the CBN’s 2024 takeover, with the judge holding that the intervention bypassed key legal safeguards and denied core investors a fair hearing.
Legal experts say the decision underscores the need for regulatory actions to strictly comply with statutory provisions, even in cases involving financial stability.
“This judgement reinforces that regulatory authority must align with the rule of law. Investor rights cannot be overlooked, regardless of the urgency of intervention,” a legal analyst said.
The reinstatement of the bank’s former leadership has raised fresh questions about its capital adequacy, governance structure, and long-term stability—issues that initially prompted regulatory intervention.
Industry observers note that the focus will now shift to how the restored board addresses these concerns while maintaining confidence in the institution.
“The challenge now is for the reinstated leadership to resolve the underlying financial issues while ensuring effective governance,” a banking expert said.
Despite the uncertainty, operations at Union Bank branches nationwide have continued without disruption, with customers carrying out transactions as usual.
The ruling is also expected to influence future regulatory practices, potentially fostering greater transparency and strengthening investor confidence in Nigeria’s financial system.
The dispute traces back to the 2022 acquisition of Union Bank by Titan Trust Bank, which purchased a majority stake in the lender. The deal later came under scrutiny over issues related to funding sources and ownership structure, eventually leading to the CBN’s intervention in 2024.
Market watchers are now awaiting the CBN’s next move, including the possibility of an appeal, as the implications of the court’s decision continue to unfold.
