The Central Bank of Nigeria (CBN) has revoked the licences of 132 Microfinance Banks (MFBs), three four Primary Mortgage Banks (PMBs) and two other finance companies in furtherance of its regulatory roles in the nation’s financial system.
The revocation of the licensed MFBs and other financial institutions (OFIs) licences was contained in a gazetted circular signed by the CBN Governor, Mr. Godwin Emefiele.
According to the apex bank, the affected institutions failed to fulfill or comply with the conditions subject to which their licences were granted and also failed to comply with the obligations imposed upon them based on the provisions of Banks and Other Financial Institutions Act (BOFIA) 2020, Act No. 5.
The apex bank’s governor stated: “Now Therefore, I, Godwin Ifeanyi Emefiele, CON, Governor of the Central Bank of Nigeria, in exercise of the powers conferred on the Central Bank of Nigeria under Section 12 of BOFIA 2020, Act No.5, hereby revoke the licences of the Microfinance Banks, Finance Companies and Primary Mortgage Banks stated in Schedules I, II and III respectively.”
Some of the Finance Companies affected by the revocation order are HHL Invest & Trust Limited, TFS Finance Limited, and Treasures & Trust Limited while the PMBs include Resort Savings & Loans, Safetrust Mortgage Bank, and Adamawa Savings & Loans and Kogi Savings & Loans.
Also, among the MFBs whose licences were revoked comprised 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, and Ohon Microfinance Bank.
