BREAKING: We’ll soon liquidate 132 microfinance banks revoked by CBN – NDIC reveals

BREAKING: We’ll soon liquidate 132 microfinance banks revoked by CBN – NDIC reveals

The Nigeria Deposit Insurance Corporation, NDIC, has said it would soon completely liquidate the 132 banks whose licenses were revoked by the Central Bank of Nigeria, CBN.

Speaking at Kano Rumfa College, during the NDIC 2023 Financial Literacy Day, Thursday, the Zonal Controller of the Corporation, Alhaji Shehu Usman, said the Apex Bank has since forwarded the bank to them for final liquidation.

The CBN had early this week revoked the operating licenses of 132 microfinance banks in Nigeria alongside those of four primary mortgage banks and three finance companies.

The Apex Bank stated that the licenses of the financial institutions were revoked because they “ceased to carry on in Nigeria, the type of business for which their licences were issued for a continuous period of six months; failed to fulfil or comply with the conditions subject to which their licenses were granted; or failed to comply with the obligations imposed upon them by the Central Bank of Nigeria in accordance with the provisions of Banks and Other Financial Institutions Act (BOFIA) 2020, Act No. 5.”

However, speaking in Kano, the Zonal Controller of the NDIC, noted that their responsibility is to ensure the protection and guarantee of the financial disposition of Nigerians and that’s the reason they are cooperating with the CBN to achieve such missions.

Speaking about the Financial Literacy Day for the students, the NDIC boss, said it has become imperative for the students to be aware of financial transactions and how to go about it.

Shehu explained that through the literacy day they are teaching students how to operate accounts including business transaction accounts for them to know how to invest their money or appropriately save it.

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