Nigeria’s oldest surviving indigenous bank, Wema Bank Plc, has weathered the turbulence for eight decades and remained a reference point in dynamism and resilience. Ekaette Bassey retraces the humble beginning to the current state of surefootedness
The impact of the economic downturn in Nigeria cannot be over-emphasised. Many burgeoning and established companies have ceased operations over the years, with thousands of workers thrown once again into the shrinking labour market.
The financial institutions in Nigeria have not been immune to this crisis. The economic downturn, occasioned by a combination of factors including increased unemployment rate, loss in the value of naira, less exportation and drop in production, among others, led to a sharp decline in the value of securities and a loss of confidence in the banking system.
In the last two decades, no fewer than 15 Nigerian banks have closed operations as a result of the revocation of their operating licences by the Central Bank of Nigeria (CBN), mergers or acquisition by stronger financial institutions. While such strategic moves have helped the economy remain afloat over the years, the operating environment continues to pose a challenge to many companies, including the financial sector.
Wema Bank, reputed for its remarkable resilience, has continued to navigate this challenging terrain with determination, weathering the storms and taking proactive steps to stay ahead and beat the seeming global economic meltdown. However, this journey and the success achieved so far, did not come easy, as the bank has had its fair share of challenges.
Through a unique combination of astute leadership, a dedicated workforce of skilled professionals, a drive for excellence, a passion for innovation and complete regard for regulatory compliance, Wema Bank has evolved from simply surviving to dominating the financial industry of Nigeria and indeed the West African sub-region.
Wema Bank’s history is one of a rise from humble beginnings to the top of banking in Nigeria, despite all odds, surviving diverse government policies, evolving operating environments and economic pressures to keep delivering value and stand as a force to be reckoned with, at 80 years.
Established since May 2, 1945, the Bank, which was originally named Agbonmagbe Bank Limited translating literally to an “inexhaustible” bank, remains the oldest surviving bank in Nigeria today at 80 years old.
Agbonmagbe was established by late Chief Mathew Adekoya Okupe as a private limited liability company with branches in Ebute-Metta (Lagos), Sagamu, Abeokuta, and Ijebu-Igbo (Ogun) and operated as a regional bank.
Under the leadership of Okupe, its founder, Agbonmagbe flourished before it was later acquired by the Western Nigeria Marketing Board in 1987.
It was listed on the Nigerian Stock Exchange in 1990, barely three years after acquisition by the Western Nigeria Marketing Board with a new symbol and logo.
Today, the profound story of Wema Bank has continued to unfold remarkably, with the bank becoming one of the most geographically spread financial institutions in the country with over 150 branches nationwide, and backed by a robust Information and Communication Technology (ICT) platform across its spread, as well as the reach of its digital platform, ALAT.
Due to its continuous dynamism, growth and incisive management and board, the CBN in February 2021, granted the bank a universal banking licence. This has further expanded its horizon and made it a force to be reckoned with in the continent’s financial sector.
Pragmatic Leadership and Management
Over the years, Wema Bank has undergone several phases of evolution and transformation under various leaderships, all of which have kept the legacy alive and thriving. From its first Managing Director in 1945, Chief Mathew Adekoya Okupe to the incumbent Mr. Moruf Oseni, various Chief Executive Officers have played their roles to keep the bank on its present status.
Each of the CEOs, through adherence to the industry ethics and standards laid the strong foundation for the success the bank is enjoying today.
Subsequent Managing Directors starting from Mr. T.A Onigbanjo to Mr. Abdulrahman Oyekanmi Adeleke, Mr. Y.A Akande, Mr. Samuel Adegbite and Alhaji Adewale Dosunmu, all came with innovations and impacts, which are still sustained, relevant and emulated till date in the financial industry.
Mr. Tunde Lemo was the CEO of Wema Bank for three years – 2000 – 2003.
At Wema Bank, Lemo demonstrated his strategic leadership skills and put the first indigenous bank on the pedestal of growth.
Lemo later went on to join the Central Bank of Nigeria (CBN) where he held a notable tenure as Deputy Governor, Operations Directorate; Financial Systems Surveillance at the apex bank.
He played a crucial role in shaping the country’s financial stability and regulatory frameworks while at the CBN. He was groomed for the task ahead at Wema Bank.
He is a Fellow of the Society for Corporate Governance Nigeria, Fellow of the institute of Chartered Accountant of Nigeria as well as Fellow of the Chartered Institute of Bankers.
In 2011, Lemo was awarded with the prestigious National honour of the Officer of the Federal Republic (OFR).
Mr. Alade Adeleke, was appointed the Managing Director of Wema Bank in 2003, first in acting capacity and later as a substantive CEO. Adeleke held sway for two years and retired in 2005.
Adeleke was succeeded by Mr. Adebisi Omoyeni between 2005 and 2008.
Omoyeni was a product of pragmatic leadership at Wema Bank. He joined the bank in 1987 as the Head, Insurance and Pensions Department and spent 21 years of his career in the bank after his National Youth Service in the Nigerian National Petroleum Corporation (NNPC). He grew through the ranks to be appointed its CEO in 2005.
Within the 21 years period, he was elected the Deputy Governor of Ekiti State with Governor. Ayodele Fayose. He left the deputy governorship position to rejoin the bank and ensured its recapitalisation.
Mr. John Aboh, took over from Omoyeni in acting capacity in 2008. Despite being in the saddle and in acting capacity for less than, Aboh made his marks within the period.
Another CEO that took over the leadership of the bank in acting capacity was Mr. Mohammed Lai Alabi between 2008 and 2009.
Alabi graduated with a First-Class Honors degree in Economics from University of Lagos in 1975 and a Masters degree in Economics from Yale University, USA in 1979.
In September 2008, he was appointed Acting Managing Director and Chief Executive of Wema Bank Plc by the CBN.
Also, Mr. Olusegun Oloketuyi was appointed the Managing Director of Wema Bank in June 2009 to 2018, nine years period.
The board of directors gave him a task of returning the bank to profitability following the 2008 banking crisis which saw the collapse of many banks. It was one of the most difficult times of the economy, but he succeeded.
Under his leadership, the fortune of the bank was completely turned around, leading to the recapitalisation of the bank and its return to profitability.
As part of a turnaround plan, which Oloketuyi led, the bank also regained its national banking licence from the CBN. This allowed it to expand to the Northern and Eastern parts of the country, significantly increasing its market share and customer base in the process.
In addition, he prioritised the use of technology to deliver improved service to customers, culminating into the launch of ALAT, which offers branchless banking services.
The nine years period of Oloketuyi as the CEO of Wema Bank was exciting with numerous digital innovations, and retained the bank on the path of profit-making just like his predecessors and continuous positive public image and acceptance.
Oloketuyi was succeeded by Ademola Adebise on July 1, 2018, who until then was the Deputy Managing Director of Wema Bank.
Adebise had been part of the bank’s executive management team since 2009 and played a pivotal role in the execution of the strategic turnaround plan of the bank.
Before his appointment, he had worked in various capacities in Information Technology, Financial Control & Strategic Planning, Treasury, Corporate Banking, Risk Management and Performance Management of Wema Bank.
Under his leadership, he expanded the bank’s footprints to other locations in Nigeria, he improved the performance of the bank and spearheaded the first dividend payment in 13 years. He also ensured consistent dividend payment in the next four years.
Also, as a team player with leadership acumen, Adebise, grew the bank’s Total Assets by 155 per cent, from N470 billion to over N1.2trillion.
Deposits also grew by 214 per cent from N350 billion to N1.1 trillion. He initiated the partnership with Bank of Africa to support its customers across the African continent, which increased the bank’s market share and customer base.
He positioned the bank as a leading collection bank for state and government agencies due to its effective and efficient platform. The bank’s rating by agencies was upgraded to BBB investment grades under his tenure.
The bank significantly changed the digital landscape through the ALAT platform. The innovative platform also came tops in the KPMG Digital Scorecard for leading retail banks in Nigeria and this was based on in-depth insights into the state of user experience on retail banks’ digital channels.
Under him, the bank launched the first SME Business School for capacity building and empowerment of SMEs, which benefited over over 20,000 small businesses at the time.
The bank also became one of the founding members of the United Nations Environmental plan for financial institutions (UNEP- FI) and continues to provide digital solutions for societal impact.
After five years of productive service as the CEO of Wema Bank, Adebise retired in 2023 and was succeeded by the incumbent, Mr. Moruf Oseni who until then was the Deputy Managing Director (DMD) of the bank. He was subsequently confirmed by the CBN.
Since the assumption of office of the current Managing Director, Oseni about two years ago, the legacies of the founding fathers of the bank have beenb jealously guarded. His leadership has further surged the fortune and opportunities of the bank, with the bank’s financial standing at an all-time high.
One of his major success stories is the embracing of digital transformation in Wema Bank, while maintaining core values of trust and customer service.
By championing technological advancements and fostering a culture of innovation, Oseni has ensured that Wema Bank not only remains competitive, but continues to lead the industry.
In a recent interview, Oseni reaffirmed his commitment to empowering lives through innovation and exceeding customers’ expectations with unparalleled banking experiences tailored to their needs.
He added: “We pledge to stand by our customers through every stage of life, offering enabling platforms to accelerate their growth and propel them to extraordinary heights.”
Wema Bank has weathered the storm in the banking sector in Nigeria despite the series of policy changes that have taken place in the last decades. The vision of the founding fathers have been kept and sustained as the bank has continued to remain relevant and emerged the strongest in the financial sector in the country.
Wema Bank as industry leader
Innovation is the hallmark of every business. Wema Bank since its establishment about 80 years ago, has taken innovation and dynamism as its top priority. The bank has constantly introduced new products and services such as savings accounts, loans and foreign exchange services, which have further endeared it to its customers and increased its customer base.
The bank has also invested in new technologies such as computerised banking systems, which have further improved its service delivery to its broad cliente.
Its partnership with state and federal-owned institutions like the Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) to empower business owners has fostered its relationship with all and sundry.
The pioneer status of Wema Bank is incontrovertible and its contribution to the elevation of the financial sector in Nigeria has never been questioned.
