We'll Soon Liquidate 132 Microfinance Institutions That CBN-NDIC Suspended

The 132 banks whose licenses were revoked by the Central Bank of Nigeria, CBN, will soon be fully liquidated, according to the Nigeria Deposit Insurance Corporation, or NDIC.

Alhaji Shehu Usman, the Zonal Controller of the Corporation, stated that the Apex Bank has since submitted the bank to them for final liquidation while speaking at Kano Rumfa College on Thursday during the NDIC 2023 Financial Literacy Day.

The CBN terminated the operating licenses of four principal mortgage banks, three finance businesses, and 132 microfinance institutions in Nigeria earlier this week.

The financial institutions' licenses were revoked, according to the Apex Bank, because they "ceased to carry on in Nigeria, the type of business for which their licenses 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 Institution Act (BOFIA) 2020, Act No. 5."

Speaking in Kano, the NDIC's Zonal Controller, however, underlined that their role is to guarantee the safety of Nigerians' financial well-being, and that is why they are working with the CBN to fulfill such missions.

The head of NDIC stated that pupils must now be aware of financial transactions and how to handle them when discussing Financial Literacy Day for students.

Shehu explained that during literacy day, kids are taught how to use accounts, especially business transaction accounts, so they may properly save money or invest it.