What Happens to Your Money? » Voice of Nigeria
Breaking news: CBN revokes licences of 132 microfinance banks. Learn what this means for your hard-earned money.
FULL LIST: CBN Revokes Licences of 132 Microfinance Banks, 4 Primary Mortgage Banks, and 3 Finance Companies
The Central Bank of Nigeria (CBN) has shaken the financial ecosystem in the country by revoking the operating licences of 132 microfinance banks, four primary mortgage banks, and three finance companies.
Channels Television reported that the CBN made this announcement via the Federal Government’s official gazette.
Reasons for Licence Revocation
The CBN stated that these institutions did not fulfil or comply with the conditions under which their licences were granted. These institutions also did not meet the obligations imposed upon them by the CBN in accordance with the Banks and Other Financial Institutions Act (BOFIA) 2020, Act No. 5.
“They 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.”
Affected Banks and Financial Institutions
The finance companies affected include HHL Invest & Trust Limited, TFS Finance Limited, and Treasures & Trust Limited.
As for the primary mortgage banks, Resort Savings & Loans, Safetrust Mortgage Bank, Adamawa Savings & Loans, and Kogi Savings & Loans are among those whose licences were revoked.
Numerous microfinance banks were listed, including Bluewhales Microfinance Bank, Igangan Microfinance Bank, Mainsail Microfinance Bank, Everest Microfinance Bank, Merit Microfinance Bank, Musharaka Microfinance Bank, Nopov Microfinance Bank, and many more.
CBN Governor, Godwin Emefiele, stated that the licences were revoked under the powers conferred on the CBN by Section 12 of BOFIA 2020, Act No. 5.
For a full list of affected banks and financial institutions, see here.
S/N Name Of Institution
- 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
- PREMIUM MICROFINANCE BANK
- ROYAL MICROFINANCE BANK
- STATESMAN MICROFINANCE BANK
- SUISSE MICROFINANCE BANK
- VIBRANT MICROFINANCE BANK
- VIRTUE MICROFINANCE BANK
- ZAMARE MICROFINANCE BANK
- NORTH CAPITAL MICROFINANCE BANK
- CHIDERA MICROFINANCE BANK
- EXCELLENT MICROFINANCE BANK
- NI’IMA MICROFINANCE BANK
- COSMOPOLITAN MICROFINANCE BANK
- PROGRESSIVE LINK MICROFINANCE BANK
- TRUST ONE (FOMERLY DESMONARCHY)
- EKUOMBE MICROFINANCE BANK
- FIRST INDEX MICROFINANCE BANK
- OLA MICROFINANCE BANK
- ULI MICROFINANCE BANK
- VERDANT MICROFINANCE BANK
- AGULERI MICROFINANCE BANK LIMITED
- APEKS MICROFINANCE BANK LIMITED
- FAHIMTA MICROFINANCE BANK LIMITED
- MANNY MICROFINANCE BANK LIMITED
- REALITY MICROFINANCE BANK LIMITED
- SURBPOLITAN MICROFINANCE BANK LIMITED
- ONYX MICROFINANCE BANK LIMITED
- OSINA MICROFINANCE BANK LIMITED
- OLOFIN-OWENA MICROFINANCE BANK LIMITED
- ZIKADO MICROFINANCE BANK LIMITED
- PRUDENTIAL CO-OPERATIVE MICROFINANCE BANK LIMITED
- PENIEL MICROFINANCE BANK LIMITED
- TARABA MICROFINANCE BANK LIMITED
- BRASS MICROFINANCE BANK LIMITED
- MICHIKA MICROFINANCE BANK LIMITED
- NDIAGU MICROFINANCE BANK LIMITED
- NORTHBRIDGE MICROFINANCE BANK LIMITED
- FCT MICROFINANCE BANK LIMITED
- OMU-ARAN MICROFINANCE BANK LIMITED
- CHERISH MICROFINANCE BANK LIMITED
- BIPC MICROFINANCE BANK LIMITED
- DANELS GLOBAL MICROFINANCE BANK LIMITED
- BANCORP MICROFINANCE BANK LIMITED
- MANNA MICROFINANCE BANK LIMITED
- MONEYWISE MICROFINANCE BANK LIMITED
- MERCURY MICROFINANCE BANK LIMITED
- NEW AGE MICROFINANCE BANK LIMITED
- PEARL MICROFINANCE BANK LIMITED
- ZAWADI MICROFINANCE BANK LIMITED
- SEED CAPITAL MICROFINANCE BANK LIMITED
- EDUEK MICROFINANCE BANK LIMITED
- EKSU MICROFINANCE BANK LIMITED
- DAKINGARI MICROFINANCE BANK LIMITED
- OGOJA MICROFINANCE BANK LIMITED
- NWABOSI MICROFINANCE BANK LIMITED
- NUTURE MICROFINANCE BANK LIMITED
- ACTIVE POINT MICROFINANCE BANK LIMITED
- AMOYE MICROFINANCE BANK LIMITED
- BOLUWADURO MICROFINANCE BANK LIMITED
- IYEDE MICROFINANCE BANK LIMITED
- MAYFAIR MICROFINANCE BANK LIMITED
- CALABAR MICROFINANCE BANK LIMITED
- IGHOMO MICROFINANCE BANK LIMTED
- HACKMAN MICROFINANCE BANK LIMITED
- IDESE MICROFINANCE BANK LIMITED
- BRIDGEWAY MICROFINANCE BANK LIMITED
- GRASSROOT MICROFINANCE BANK LIMITED
- SURELIFE MICROFINANCE BANK LIMITED
- TIJARAH MICROFINANCE BANK LIMITED
- IC-GLOBAL MICROFINANCE BANK LIMITED
- EJIAMATU MICROFINANCE BANK LIMITED
- BRIYTH COVENANT MICROFINANCE BANK LIMITED
- NANKA MICROFINANCE BANK LIMITED
- CUB MICROFINANCE BANK LIMITED
- BFL MICROFINANCE BANK LIMITED
- UMUNNE MICROFINANCE BANK LIMITED
- OROKE MICROFINANCE BANK
- ALKALERI MICROFINANCE BANK LIMITED
- CROWNED EAGLE MICROFINANCE BANK LIMITED
- UNIFA MICROFINANCE BANK LIMITED
- DADINKOWA MICROFINANCE BANK LIMITED
- IFESOWAPO MICROFINANCE BANK LIMITED
- OAF MICROFINANCE BANK LIMITED
- BAMA MICROFINANCE BANK LIMITED
- NGALA MICROFINANCE BANK LIMITED
- IWOAMA MICROFINANCE BANK LIMITED
- KADA MICROFINANCE BANK LIMITED
- KEFFI MICROFINANCE BANK LIMITED
- NUT-ENDWELL MICROFINANCE BANK LIMITED
- FIRST MULTIPLE MICROFINANCE BANK LIMITED
- SBDC MICROFINANCE BANK LIMITED
- OROS CAPITAL MICROFINANCE BANK LIMITED
- OZIZZA MICROFINANCE BANK LIMITED
- PRIMERA CREDIT MICROFINANCE BANK LIMITED
- IFEANYICHUKWU MICROFINANCE BANK LIMITED
- IHIOMA MICROFINANCE BANK LIMITED
- JOSAD MICROFINANCE BANK LIMITED
- AKPO MICROFINANCE BANK LIMITED
- AIYEPE MICROFINANCE BANK LIMITED
- ABC MICROFINANCE BANK LIMITED
- STAR MICROFINANCE BANK LIMITED
- PURPLE MONEY MICROFINANCE BANK LIMITED
- UTUH MICROFINANCE BANK LIMITED
- STALLION MICROFINANCE BANK LIMITED
- KJL MICROFINANCE BANK LIMITED
- CREDIT AFRIQUE MICROFINANCE BANK LIMITED
- COWRIES MICROFINANCE BANK LIMITED
- LAWEBOD MICROFINANCE BANK LIMITED
- MABINAS MICROFINANCE BANK LIMITED
- BUSINESS SUPPORT MICROFINANCE BANK LIMITED
- OGBE-AHIARA MICROFINANCE BANK LIMITED
- OLOFIN MICROFINANCE BANK LIMITED
- OBOSI MICROFINANCE BANK LIMITED
- FIYINFOLU MICROFINANCE BANK LIMITED
- BISHOPGATE MICROFINANCE BANK LIMITED
- AWKA MICROFINANCE BANK LIMITED
- ZIGATE MICROFINANCE BANK LIMITED
- ESAN MICROFINANCE BANK LIMITED
- ENUGU-UKWU MICROFINANCE BANK LIMITED
- ECHO MICROFINANCE BANK LIMITED
- ALLY MICROFINANCE BANK LIMITED
- NETWORK MICROFINANCE BANK LIMITED
- AWGBU MICROFINANCE BANK LIMITED
- SCHEDULE II
LIST OF FINANCE COMPANIES LICENCES REVOKED
S/N Name Of Institution
- HHL Invest & Trust Limited
- TFS Finance Limited
- Treasures & Trust Limited
SCHEDULE III
LIST OF PRIMARY MORTGAGE BANKS LICENCES REVOKED
S/N Name Of Institution
- RESORT SAVINGS & LOANS
- SAFETRUST MORTGAGE BANK
- ADAMAWA SAVINGS & LOANS
- KOGI SAVINGS & LOANS
What Happens to Depositors’ Money?
No Need to Panic: NDIC Announces Recovery Measures
The Nigeria Deposit Insurance Corporation (NDIC) has initiated the process to recover deposit funds from over 170 microfinance banks and primary mortgage banks whose licences were revoked by the CBN.
Bashir Nuhu, Director of the Communication & Public Affairs Department at NDIC, assured depositors that their insured funds would be promptly disbursed.
“NDIC assures depositors that their insured funds would be promptly disbursed.”
NDIC will begin the payment process immediately after verifying eligible depositors at the respective premises of the closed banks.
Depositors should gather necessary documents, including proof of account ownership, valid identification, and details of an alternate bank account. The maximum coverage limits for MFBs and PMBs are set at N200,000 and N500,000 per depositor per bank, respectively.
The NDIC, as the liquidator, has also initiated the sale of assets belonging to the defunct banks to facilitate the declaration of liquidation dividends.
Regulating Authorities Maintain Stability
Hassan stressed that the regulatory authorities are taking extensive measures to maintain the banking system’s stability without compromising it. He reassured that everyone’s bank money is safe.
