Apex Bank Revokes Licences of Non-Compliant Lenders Effective July 1, 2026
The Central Bank of Nigeria has wielded the regulatory axe, shutting down 46 microfinance banks across the country for flouting critical operational rules.
In a decisive move announced Wednesday, the apex bank revoked the licences of the affected institutions, citing a litany of infractions including insufficient assets, prolonged inactivity, and failure to maintain minimum capital requirements.
The purge, approved by CBN Governor Olayemi Cardoso, took effect July 1, 2026, under the powers conferred by Sections 12 and 13 of the Banks and Other Financial Institutions Act, 2020.
The Offenders: Why They Were Shut Down
The affected banks were found guilty of one or more violations:
· Insufficient assets to cover liabilities
· Unauthorised closure of operations
· Prolonged inactivity and cessation of financial intermediation
· Failure to commence operations within 12 months of receiving licences
· Inability to maintain prescribed minimum capital unimpaired by losses
Full List of Affected Banks
Lagos-Based Institutions:
· Gold Microfinance Bank
· Creditville Microfinance Bank
· Supreme Microfinance Bank
· Winview Microfinance Bank
· Merchant Microfinance Bank
· Safegate Microfinance Bank
· NOW NOW Digital Microfinance Bank
Kano-Based Institutions:
· Bompai Microfinance Bank
· Minjibir Microfinance Bank
· Shanono Microfinance Bank
· Sumaila Microfinance Bank
· Rimin Gado Microfinance Bank
· Sycamore Microfinance Bank
· TOFA Microfinance Bank
· Kanopoly Microfinance Bank
· Esteem Microfinance Bank
Other States (Abia, Ogun, Kaduna, Niger, Plateau, Rivers, Bayelsa, Benue, Cross River, Delta, Kebbi, Kwara, Ondo, Osun, Oyo, Anambra, Abuja):
Additional Tier 1, Tier 2, and State microfinance banks were also affected across these regions.
What This Means for Depositors
The CBN emphasised this action is part of its broader strategy to safeguard financial sector stability and protect depositors.
“The revocation 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,” the statement read.
The Nigeria Deposit Insurance Corporation (NDIC) recently confirmed that over 281 million depositors are protected against bank failure, with more than 98% fully insured following deposit insurance limit reviews in May 2024.
CBN’s Message to the Industry
The apex bank reaffirmed its commitment to maintaining public confidence in Nigeria’s financial system:
“The Central Bank of Nigeria remains committed to promoting a safe, sound and resilient financial system and will continue to take appropriate supervisory and regulatory actions, where necessary, to maintain public confidence in the Nigerian financial system.”
