132 Micro Finance Banks Lose Operating Licenses As CBN Wields Axe

One hundred and thirty-two of Nigeria's Micro-finance institutions, four primary mortgage banks and three finance companies have lost their operational licenses following the decision by the country’s apex bank, the Central Bank of Nigeria, CBN, to wield its regulatory stick. 

The CBN ,which made the disclosure Tuesday night in a statement contained in its gazette, explained that the action became imperative following the inability of the affected institutions to fulfill and or comply with operating conditions. 

The withdrawal of the licences, according to the CBN, is in line with the exercise of regulatory powers conferred on the apex bank under Section 12 of BOFIA 2020, Act No. 5.

“...the listed institutions cease to carry on in Nigeria, the type of business for which their licences were issued for a continuous period of six months; failed to fulfil or comply with the conditions subject to which their licences were granted; or failed to comply with the obligations imposed upon them by the Central Bank of Nigeria in accordance with the provisions of Banks and Other Financial Institutions Act (BOFIA) 2020, Act No. 5.”

The affected institutions include TFS Finance Limited, HHL Invest & Trust Limited, Treasures & Trust Limited, Safetrust Mortgage Bank, Resort Savings & Loans, Adamawa Savings & Loans and Kogi Savings & Loans.

Others are include Atlas Microfinance Bank, Bluewhales Microfinance Bank, Everest Microfinance Bank, Igangan Microfinance Bank, Mainsail Microfinance Bank, Merit Microfinance Bank, Minna Microfinance Bank, Musharaka Microfinance Bank, Nopov Microfinance Bank and among others, Ohon Microfinance Bank.