The Central Bank of Nigeria (CBN) has withdrawn the operating licences of 46 microfinance banks, citing persistent regulatory infractions and failure to meet statutory requirements.
The revocation, which took effect on July 1, 2026, was announced by the apex bank in line with the provisions of the Banks and Other Financial Institutions Act (BOFIA).
According to the CBN, the affected institutions were sanctioned after examinations revealed critical regulatory deficiencies, including inadequate assets to meet liabilities, unauthorised closure of operations, prolonged inactivity, failure to commence business within the stipulated period, and inability to maintain the minimum capital requirement.
The apex bank said the action forms part of its ongoing supervisory measures to strengthen the resilience of Nigeria’s financial system and ensure that only financially sound institutions operate within the banking sector.
It added that the revocation is intended to protect depositors, preserve financial stability, and bolster public confidence in the country’s banking industry.
The CBN reiterated its commitment to strict regulatory oversight and warned that financial institutions that fail to comply with extant prudential and operational standards would continue to face appropriate sanctions.