The Central Bank of Nigeria, CBN, has revoked the licences of 139 microfinance banks in the country, as well as four primary mortgage banks and three finance companies.

This was disclosed in the official gazette of the Federal Government, which was published by the CBN on Tuesday.

According to the gazette, the licences 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.

The gazette stated that the banks have either remained inactive, insolvent, failed to render returns, closed shop, or ceased to carry on the type of banking business for which they were licensed for more than six months in contravention of the Banks and other Financial Institutions Act, BOFIA, 2020 and the Revised Regulatory and Supervisory Guidelines for Microfinance Banks in Nigeria.

The CBN Governor, Godwin Emefiele, revoked the licences in the exercise of the powers conferred on the Central Bank of Nigeria under Section 12 of BOFIA 2020, Act No.5.