The total expenses of eight Nigerian banks soared to N4.61tn in 2024, driven by increases in both personnel and operating costs.

The data reveals a 107.8 per cent rise from N2.2tn in 2023, highlighting the growing financial pressure on the banking sector.

This was based on the annual results of the financial institutions filed with the Nigerian Exchange Limited for the period ended December 2024.

In the period under review, First HoldCo Plc reported a total of N568.3bn in operating expenses, up from N341.5bn in 2023, reflecting a 66.4 per cent increase year-on-year. Personnel expenses for the group stood at N308.5bn, marking a significant surge from N175.9bn in 2023, a growth of 75.3 per cent.

Fidelity Bank Plc saw its total operating expenses increase to N242.7bn from N135.3bn in 2023, representing a 79.3 per cent rise. Personnel expenses rose to N73.5bn, compared to N52.6bn in 2023, reflecting a 39.6 per cent increase.

For United Bank for Africa Plc, the bank’s operating expenses rose to N682.9bn, an increase from N372.8bn in 2023, reflecting an 83.2 per cent jump.

Guaranty Trust Holding Company reported a sharp rise in its operating expenses, which surged to N259.6bn from N166.2bn in 2023, reflecting a 56.2 per cent increase. Personnel expenses for the group hit N85.4bn, more than doubling from N45.1bn in the previous year, a 89.3 per cent increase.

Zenith Bank Plc experienced an increase in operating expenses to N586.6bn, up from N291.7bn in 2023, representing an 101.1 per cent rise. Personnel expenses for Zenith Bank stood at N204.2bn, compared to N124.4bn in 2023, an increase of 64.2 per cent.

Wema Bank also recorded a significant rise in both operating expenses and personnel expenses, which surged to N77.5bn from N45.9bn in 2023, marking a 68.9 per cent rise. Personnel expenses stood at N45.5bn, a 70.3 per cent increase from the previous year’s N26.8bn.

At FCMB Group Plc, operating expenses surged to N48.3bn, an increase from N32.7bn in 2023, reflecting a 47.8 per cent rise. Personnel expenses for FCMB grew to N79.3bn, up from N49.6bn in 2023, a growth of 59.9 per cent.

Finally, Access Holdings Plc reported N960.8bn in operating expenses, up from N465.7bn in 2023, a 106.3 per cent increase.

Personnel expenses stood at N381.4bn, a sharp rise from N167.9bn the previous year, showing a 127.5 per cent increase.

The PUNCH reported that the combined operating expenses of 10 Nigerian banks rose by 42.51 per cent to N3.23tn in 2023 compared to N2.26tn in the previous year.