The Central Bank of Nigeria (CBN) has revoked the operating licences of 46 Microfinance Banks, citing their failure to meet the regulatory requirements for continued operation as licensed financial institutions.
The Acting Director of Corporate Communications at the CBN, Mrs. Hakama Sidi Ali, made this known in a statement, noting that the revocation takes effect from July 1, 2026, in accordance with the Bank’s powers under Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020.
Mrs. Ali disclosed that the revocation was approved by the Governor of the CBN, Mr. Olayemi Cardoso.
She highlighted the reasons for the revocation, including insufficient assets to meet liabilities, the closure of operations without CBN approval, and inactivity and the cessation of financial intermediation.
The order also includes failure to commence operations within 12 months of licence approval and failure to maintain minimum capital funds unimpaired by losses.
The spokesperson explained that the revocation of the licences is part of the Bank’s ongoing efforts to safeguard the stability of the financial sector, protect depositors, and ensure that licensed institutions comply with current laws and regulatory requirements.
She reiterated the CBN’s commitment to promoting a safe, sound, and resilient financial system and pledged to continue taking appropriate supervisory and regulatory actions, where necessary, to maintain public confidence in the Nigerian financial system.
