The Central Bank of Nigeria (CBN) has revoked the operating licences of 46 microfinance banks for failing to meet key regulatory requirements, with the decision taking effect from July 1, 2026.
In a statement issued by the Acting Director of Corporate Communications, Hakama Sidi-Ali, the apex bank said the action was approved by CBN Governor Olayemi Cardoso and carried out in accordance with Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020.
According to the CBN, the affected institutions failed to satisfy conditions required to remain licensed financial institutions. The violations included insufficient assets to meet liabilities, operating without regulatory approval, prolonged inactivity, failure to commence business within 12 months of licensing, and failure to maintain the required minimum capital due to accumulated losses.
The CBN said the revocation forms part of its ongoing efforts to strengthen Nigeria’s financial system, protect depositors, and ensure that all licensed financial institutions comply with prudential regulations and existing laws.
The apex bank reaffirmed its commitment to maintaining a safe, sound and resilient banking sector, adding that it will continue to take necessary supervisory and regulatory actions to safeguard public confidence in the country’s financial system.
