By Abdullahi Mukhtar Algasgaini
The Central Bank of Nigeria (CBN) has withdrawn the operating licences of 46 microfinance banks with immediate effect, citing serious regulatory breaches that threatened depositors’ funds and financial stability.
In a sweeping enforcement action approved by CBN Governor Mr. Olayemi Cardoso, the apex bank wielded its powers under Sections 12 and 13 of the Banks and Other Financial Institutions Act (BOFIA), 2020, to shut down the affected institutions from July 1, 2026.
According to a statement by the bank’s Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, the revocation followed the failure of the microfinance banks to meet one or more statutory requirements, including insufficient assets to cover liabilities, unauthorised closure of operations, prolonged inactivity, failure to commence business within 12 months of licence approval, and inability to maintain minimum capital funds unimpaired by losses.
The CBN described the mass revocation as a necessary step to protect the integrity of the financial system, safeguard depositors, and ensure that all licensed institutions operate within the bounds of the law. “The Central Bank of Nigeria remains committed to promoting a safe, sound and resilient financial system,” the statement said, adding that further regulatory actions would be taken where necessary to sustain public confidence.
In a rare move, the CBN also released the full list of affected banks, naming them as:
1. Minji-Se Churchill MFB
2. Merchant MFB
3. Janmaa MFB
4. Busu MFB
5. Gold MFB
6. Zain MFB (formerly Dawakin Tofa MFB)
7. Bompai MFB
8. Ajwa MFB (formerly Gezawa MFB)
9. NOW NOW DIGITAL MFB
10. Crystabel Microfinance Bank
11. Chanelle MFB
12. Abia SME MFB
13. Kamba MFB
14. Iwade MFB
15. Winview MFB
16. Zuru MFB
17. Minjibir MFB
18. Shanono MFB
19. Sumaila MFB
20. Rimin Gado MFB
21. Mwaghavul MFB
22. Sycamore MFB
23. TOFA MFB
24. Safegate MFB
25. Creekline MFB
26. Bestar MFB
27. Livingspring MFB
28. Apple MFB
29. Stanford MFB
30. Frontline MFB
31. Zafec MFB
32. Supreme MFB
33. Bejin-Doko MFB
34. Kanopoly MFB
35. Bellbank MFB (formerly Tsanyawa MFB)
36. Yeneng MFB
37. Creditville MFB
38. MBAG MFB
39. STRAIGHT SAHARA MFB
40. OURPASS MFB
41. VERDANT MFB
42. BASAWA MFB
43. CASHA MFB
44. ESTEEM MFB
45. ENTREPRENEUR MFB
46. AVANTUS MFB
Financial analysts view the unprecedented publication of the defaulter list as a signal of the CBN’s tougher posture under Governor Cardoso, particularly in the microfinance subsector, where weak governance and capital erosion have been persistent concerns. The affected banks are now expected to commence winding-down procedures and settle outstanding obligations to depositors in line with existing resolution frameworks.
