The Nigeria Deposit Insurance Corporation (NDIC) has formally taken over 46 microfinance banks whose operating licences were revoked by the Central Bank of Nigeria (CBN), commencing the process of their liquidation and assuring depositors of the payment of insured deposits.
The takeover follows the revocation of the licences by the CBN on July 1, 2026. Under Section 12(2) of the Banks and Other Financial Institutions Act (BOFIA) 2020 and Sections 55(1) and (2) of the NDIC Act 2023, the NDIC has been appointed the official liquidator of the failed financial institutions.
In a statement issued on Wednesday, the Corporation said the affected microfinance banks are no longer authorised to conduct banking business in Nigeria.
It warned members of the public against carrying out any transactions with the closed institutions, stressing that any attempt by individuals to remove, conceal, retain or interfere with the banks’ assets, records or other properties would amount to a violation of the law and could attract appropriate legal sanctions.
“The NDIC has commenced the process of the orderly closure of the failed banks with their immediate takeover, verification and payment of insured sums to eligible depositors,” the Corporation said.
The NDIC assured customers that it had begun the process of verifying depositors to facilitate prompt payment of insured deposits, while the liquidation exercise would be carried out in an orderly manner in line with its statutory mandate.
It added that depositors and the general public would continue to receive updates on the liquidation process and the procedures for recovering insured funds and other entitlements.
The Corporation reiterated its commitment to protecting depositors and maintaining confidence in the nation’s financial system through the orderly resolution of failed financial institutions.
The affected institutions include Minji-Se Churchill MFB, Merchant MFB, Janmaa MFB, Busu MFB, Gold MFB, Zain MFB (formerly Dawakin Tofa MFB), Bompai MFB, Ajwa MFB (formerly Gezawa MFB), NowNow Digital MFB, Crystabel Microfinance Bank, Chanelle MFB, Abia SME MFB, Kamba MFB, Iwade MFB and Winview MFB.
Others are Zuru MFB, Minjibir MFB, Shanono MFB, Sumaila MFB, Rimin Gado MFB, Mwaghavul MFB, Sycamore MFB, Tofa MFB, Safegate MFB, Creekline MFB, Bestar MFB, Livingspring MFB, Apple MFB, Stanford MFB and Frontline MFB.
Also affected are Zafec MFB, Supreme MFB, Bejin-Doko MFB, Kanopoly MFB, Bellbank MFB (formerly Tsanyawa MFB), Yeneng MFB, Creditville MFB, MBAG MFB, Straight Sahara MFB, OurPass MFB, Verdant MFB, Basawa MFB, Casha MFB, Esteem MFB, Entrepreneur MFB and Avantus MFB.
(The Whistler)
