Abbey Bank is rebuilding its risk-management framework from the ground up as it prepares to convert from a mortgage specialist into a full commercial bank, after securing approval from the Central Bank of Nigeria to launch commercial operations in November, according to a report by Guardian Nigeria. The lender says it is recruiting experienced banking professionals and upgrading its technology and operational processes ahead of the switch, arguing that the move needs a materially stronger risk framework than the one that carried its mortgage-only business.
Managing Director and Chief Executive Officer Mobolaji Adewumi described the approval as a defining moment for the institution, saying it reflects the confidence of regulators, shareholders, customers and staff built up over more than three decades of mortgage lending. The bank intends to keep that real estate financing expertise as its core strength while expanding into construction finance, infrastructure lending, SME financing, trade services, electronic banking and wealth management, the segments a full commercial license opens up.
The pivot follows a strong run of financial results, with pre-tax profit climbing more than 150 percent to over 3 billion naira. Adewumi said the priority now is a seamless transition that keeps existing customers' trust intact while the bank absorbs a much broader commercial banking mandate than the mortgage-only model it has operated under for decades.