CBN revokes licences of 46 microfinance banks

The Central Bank of Nigeria (CBN) has revoked the operating licences of 46 microfinance banks over their failure to meet regulatory requirements for continued operations.

The apex bank announced the decision in a press statement issued on Wednesday, saying the revocation took effect from July 1, 2026.

According to the CBN, the action was approved by its Governor, Olayemi Cardoso, in line with the powers conferred on the bank under Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020.

The CBN said the affected institutions failed to satisfy key regulatory conditions required of licensed financial institutions.

It explained that the licences were withdrawn for one or more reasons, including insufficient assets to meet liabilities, closure of operations without regulatory approval, prolonged inactivity and cessation of financial intermediation, failure to commence operations within 12 months of licence approval, and failure to maintain the minimum capital required by law.

The apex bank said the move forms part of its ongoing efforts to safeguard the stability of Nigeria’s financial system, protect depositors and ensure compliance with existing banking regulations.

It reaffirmed its commitment to maintaining a safe, sound and resilient financial sector, adding that it would continue to take appropriate supervisory and regulatory actions where necessary to sustain public confidence in the country’s financial system.