In a groundbreaking development, Sterling Bank Limited has abolished transfer fees for all local online transactions, becoming the first major Nigerian bank to implement such a policy.
The announcement, made on April 1, 2025, initially met with skepticism, with some mistaking it for an April Fools’ Day jest. However, the bank swiftly clarified the initiative’s authenticity during a press conference in Lagos on April 9, 2025.
Abubakar Suleiman, the bank’s Chief Executive Officer, emphasized the initiative’s significance, stating that it marks a shift toward a customer-centric future. He highlighted that Nigerians have long endured charges for moving their funds, a practice Sterling aims to end.
The decision follows years of technological advancements, including the development of a custom callback system handling over 180 million transactions and a homegrown platform designed to support 50 times the bank’s current five-million-strong customer base. The bank has also transitioned to a private cloud infrastructure to ensure scalability.
Suleiman called on other financial institutions to eliminate transfer fees, arguing that such a move would enhance the banking experience nationwide. He expressed confidence that Nigerian banks could remain profitable without these charges, noting Sterling’s commitment to proving this model viable. A collective effort, he suggested, would accelerate industry-wide benefits for customers.
Obinna Ukachukwu, Growth Executive for Retail, Consumer, and Business Banking, reinforced this message, underscoring Sterling’s transformative role in Nigeria’s financial sector. While the bank absorbs costs paid to other institutions for shared transactions, Ukachukwu stressed a broader commitment to the country’s populace and the industry’s progress. He noted that Sterling’s upgraded technology now enables it to pursue its long-standing “one-customer” philosophy more effectively, with plans to introduce additional customer benefits.
The policy allows Sterling’s customers to conduct free transfers via the bank’s mobile app, offering substantial savings, particularly for individuals and small business owners reliant on frequent transactions. As Sterling leads the charge, the industry watches closely to see if other banks will adopt similar measures to reshape Nigeria’s banking landscape.
