The Central Bank of Nigeria (CBN) spent a total of N306.63 billion on personnel-related costs in 2024, marking a sharp rise in staff severance and compensation following a wave of voluntary exits and internal restructuring.
The figure, which represents a more than 700 per cent increase from the N37.7 billion spent in 2023, is contained in the apex bank’s audited financial statements for the year ended 2024.
According to the breakdown, staff allowances accounted for N191.95 billion, while salaries stood at N55.62 billion. The report also showed a N36.5 billion expense under the defined benefit plan, a 49 per cent jump from the previous year. Pension contributions under the defined contribution scheme also rose slightly to N17.7 billion from N17.3 billion.
The surge in personnel costs follows the implementation of the Early Exit Programme (EEP), a voluntary initiative rolled out by the CBN to encourage eligible staff to resign with financial incentives. Under the scheme, employees from senior supervisory roles to deputy manager levels were offered payouts covering up to 60 months of their gross annual earnings.
While the CBN did not disclose exact figures in its financials, previous reports indicated that over 1,000 staff voluntarily exited under the programme, in addition to 317 earlier sacked and nearly 1,500 others affected by an ongoing internal restructuring led by CBN Governor Olayemi Cardoso.
Overall, personnel costs made up over half of the bank’s total operating expenses for the year, and exceeded 2023’s figure by over N313 billion.
Beyond staff compensation, the CBN spent N152.74 billion on administrative costs, N50 billion on the Banking Sector Resolution Sinking Fund, and N53.95 billion on cost of sales. The bank also incurred N8.67 billion in intervention activity expenses and N21.53 billion on repairs and maintenance.
Other notable expenses include N7.14 billion on professional services, N2.23 billion for directors’ allowances, N1.75 billion on bank charges, N1.01 billion for audit fees, and N392 million in donations. The CBN also recorded N12.69 billion as fees related to over-the-counter (OTC) foreign exchange futures transactions, N70 million for technical assistance, and a N493 million loss on the sale of property, plant, and equipment.
Despite the heavy outlay, the financial report did not provide details on the current staff strength or specific severance figures for the exited employees.
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