CBN Revokes Licenses of 46 Microfinance Banks in Nigeria

The Central Bank of Nigeria (CBN) announced the revocation of licenses for 46 microfinance banks across the country, citing their failure to meet regulatory requirements necessary for continued operation. This decision, approved by Olayemi Cardoso, the Governor of the CBN, will take effect on July 1, 2026.

The action is in accordance with sections 12 and 13 of the Bank and Financial Institutions Act (BOFIA) 2020. The affected institutions did not satisfy conditions required to maintain their licenses, which include having sufficient assets to meet liabilities, operating without CBN's approval, failing to commence operations within 12 months of license approval, and not maintaining minimum capital funds.

This revocation is part of CBN's ongoing efforts to strengthen and stabilize Nigeria's financial system, protect depositors, and ensure that licensed financial institutions comply with existing laws and regulatory requirements.