The operating licenses of 46 microfinance banks in the country have been revoked by the Central Bank of Nigeria (CBN).
A statement on Wednesday from the banking sector regulator disclosed that the action followed failure by the affected small lenders to comply with regulatory requirements.
The central bank said it had to enforce its powers under Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020, to withdraw the licenses of the banks.
“The revocation of the licenses is part of the Bank’s ongoing efforts to safeguard the stability of the financial sector, protect depositors, and ensure that licensed institutions comply with current laws and regulatory requirements,” a part of the circular dated Wednesday, July 1, 2026, and signed by the acting Director of the Corporate Communications Department of the CBN, Mrs Hakama Sidi-Ali, stated.
The apex bank listed five violations by the 46 microfinance banks, including insufficient assets to meet liabilities, closure of operations without the CBN’s approval, inactivity and cessation of financial intermediation, failure to commence operations within 12 months of licence approval, and failure to maintain minimum capital funds unimpaired by losses.
Another part of the notice disclosed that, “The revocation was approved by the Governor of the Central Bank of Nigeria, Mr Olayemi Cardoso, following the banks’ failure to meet the regulatory requirements for continued operation as licensed financial institutions.”
The affected financial institutions are;