NDIC commences process to conclude liquidation of 89 MFBs

Mariam Abeeb

The Nigeria Deposit Insurance Corporation (NDIC) has commenced the process of concluding the liquidation activities of 89 closed Microfinance Banks (MFBs) and Primary Mortgage Banks (PMBs) following their successful acquisition by new owners under the Purchase and Assumption (P&A) resolution model executed by the Corporation.

This was disclosed in statement by Head, Communication & Public Affairs, Hawwau Gambo in Abuja .

She explained that the 89 closed banks were part of the 179 MFBs and 4 PMBs whose banking licenses were revoked by the Central Bank of Nigeria (CBN) on May 22nd and 23rd, 2023.

According to the statement, through the Purchase and Assumptionagreements, 89 new eligible institutions were issued licenses by the CBN, to acquire the assets and liabilities of the defunct banks and have since commenced operations under new names.

“In order to legally conclude the liquidation process in accordance with the provisions of its enabling Act and other relevant laws, the NDIC in its capacity as the Liquidator of the defunct banks, will bepresenting applications to various Judicial divisions of the Federal High Court to obtain orders of dissolution for the closed banks and to release the Corporation as Liquidator,” it’s stated.

The list of some of the efunct banks and assuming new banks are: Monaco-Op Microfinance bank, mint microfinance bank, uforo microfinance bank, vista microfinance bank sutra microfinance bank , oganiru microfinance bank, pioneer microfinance bank, platinum microfinance bank, Adike microfinance bank among many others.