The operating licenses of 132 microfinance banks in the country have been withdrawn by the Central Bank of Nigeria (CBN) alongside those of four primary mortgage banks and three finance companies.
The disclosure which was made in the official gazette of the Federal Government, and published on CBN’s website yesterday, stated that the licenses of the financial institutions were withdrawn for ceasing to carry on in Nigeria, the business for which their licences were issued for a continuous period of six months.
They also failed to fulfill 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.”
CBN’s governor, Godwin Emefiele, revoked the licenses in the exercise of the powers conferred on the apex bank under Section 12 of BOFIA 2020, Act No. 5.
Some of the microfinance banks 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, Ohon Microfinance Bank, and others.
The Finance companies whose licenses were revoked include – HHL Invest & Trust Limited, TFS Finance Limited and Treasures & Trust Limited while the four primary mortgage banks whose licenses were revoked are – Resort Savings & Loans, Safetrust Mortgage Bank, Adamawa Savings & Loans and Kogi Savings & Loans.
