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Access Bank, the commercial banking arm of Nigeria’s largest lender, Access Holdings, is set to establish a subsidiary in Namibia after receiving provisional approval from the Bank of Namibia. The bank aims to meet the necessary preconditions to secure a full operating license in the coming months, according to a regulatory filing made on Monday at the Nigerian Exchange.
“This expansion is a key milestone in establishing a strategic presence in Namibia, advancing intra-African trade within Southern Africa, the continent, and globally,” said Roosevelt Ogbonna, Managing Director of Access Bank. He added that this development strengthens Access Bank’s commitment to building a robust banking network in Southern Africa, promoting financial inclusion, and empowering individuals and businesses to achieve their aspirations.
Access Bank already has a significant presence in Southern Africa, with operations in South Africa, Angola, Botswana, Mozambique, and Zambia. The establishment of a Namibian subsidiary marks a shift in the bank’s expansion strategy, which has previously focused on mergers and acquisitions, as opposed to launching new operations from the ground up.
Cross-border expansion has become a central part of Access Holdings’ long-term growth strategy, aimed at positioning the bank as Africa’s “gateway to the world.” This vision seeks to enhance intra- and inter-African trade while facilitating international financial flows.
Strategic Acquisitions and Diversification
Access Bank’s recent strategy has seen it actively pursue acquisitions across Africa. In 2023 alone, the bank completed two major acquisitions outside Nigeria and entered into agreements to acquire banks in Uganda and Kenya.
In addition, the transformation into a holding company has allowed Access Holdings to diversify its business portfolio. Earlier this year, it acquired an insurance brokerage firm, Megatech, and received regulatory approval to launch a consumer lending subsidiary, Oxygen, from the Central Bank of Nigeria.
Further consolidation within the group’s financial services businesses has also been underway. In October, Access Holdings announced the merger of its pension arm, Access Pensions Limited, with ARM Pensions Managers Limited. This merger is expected to result in a combined asset base of N3 trillion and increase its client base to over 2 million retirement savings account holders.
Expansion Goals for 2027
Looking ahead, Access Holdings plans to operate in 26 countries, including at least three OECD nations, and aims to grow its customer base to 100 million by 2027, according to the bank’s five-year strategic plan. While the Nigerian banking unit currently contributes 82% of the group’s revenue, that share is expected to drop to 52% over the next three years as other subsidiaries grow their contributions.
Access Bank’s aggressive expansion and diversification strategies reflect its ambition to become a leader in the financial services sector across Africa and beyond.
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