The Central Bank of Nigeria (CBN) has revoked the operating licences of 46 microfinance banks across the country over multiple regulatory violations, including insolvency, prolonged inactivity, and failure to meet minimum capital requirements.
The apex bank announced that the revocation took effect on July 1, 2026, following the approval of the Governor of the Central Bank of Nigeria, Olayemi Cardoso.
According to the CBN, the decision was taken pursuant to its powers under Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020, after the affected institutions failed to satisfy the regulatory conditions required to continue operating as licensed financial institutions.
This is contained in a statement signed by Director, Corporate Communications, Hakama Sidi Ali, and issued on Wednesday.
The bank said investigations found that the affected microfinance banks were guilty of one or more serious regulatory breaches, including maintaining insufficient assets to meet liabilities, shutting down operations without obtaining regulatory approval, remaining inactive and ceasing financial intermediation, failing to commence operations within 12 months after receiving their licences, and failing to maintain the minimum capital base required by law.
