CBN revokes licences of 46 microfinance banks over regulatory breaches
The Central Bank of Nigeria (CBN) has revoked the operating licences of 46 microfinance banks across the country for failing to comply with regulatory requirements.
The apex bank announced the decision in a statement issued on Wednesday by its Acting Director of Corporate Communications, Hakama Sidi-Ali, stating that the revocation took effect from July 1, 2026, in accordance with Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020.
According to the CBN, the action, approved by Governor Olayemi Cardoso, is aimed at strengthening the stability of the financial system, protecting depositors and ensuring compliance with existing banking regulations.
The bank explained that the affected institutions were sanctioned for one or more regulatory infractions, including insufficient assets to meet liabilities, operating without CBN approval, prolonged inactivity, failure to commence operations within 12 months of obtaining licences and inability to maintain the required minimum capital.
“The revocation of the licences 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 said.
The CBN reaffirmed its commitment to maintaining a safe, sound and resilient financial system, adding that it would continue to take supervisory and regulatory measures where necessary to sustain public confidence in Nigeria’s financial sector.
Among the affected institutions are Janmaa Microfinance Bank in Kwara State, Gold Microfinance Bank, Chanelle Microfinance Bank, Safegate Microfinance Bank, Creditville Microfinance Bank, MBAG Microfinance Bank, Supreme Microfinance Bank, Verdant Microfinance Bank and Entrepreneur Microfinance Bank in Lagos State. Others include Merchant Microfinance Bank and Abia SME Microfinance Bank in Abia State, Busu Microfinance Bank in Niger State,Crystabel Microfinance Bank in Bayelsa State, Winview Microfinance Bank and Casha Microfinance Bank in the Federal Capital Territory, as well as several microfinance banks operating in Kano, Kaduna, Kebbi, Ogun, Plateau, Delta, Oyo, Cross River, Anambra, Benue, Ondo and Osun states.
The latest action comes months after the apex bank’s banking sector recapitalisation exercise. In March 2024, the CBN raised the minimum capital requirements for banks and set March 31, 2026, as the deadline for compliance. The regulator later announced on March 6, 2026, that 30 banks had successfully met the new capital threshold.
