The Central Bank of Nigeria, CBN, has given approval to Africa's first farmers microfinance bank to operate in the unit category in Nigeria.
The approved MfB is called Joint Farmers Microfinance Bank Limited as contained in a CBN letter titled:Final Approval To Operate As Joint Farmers Microfinance Bank Limited signed by Director, Financial Policy and Regulation Department, Mr. S. Mohammed.
The CBN, in the statement dated May 21, 2018 requested the management of the new bank to give information on when it would be commencing operation as an MfB to enable a proper update of its record.
Mohammed implored the bank to ensure that it adheres strictly to all the CBN's rules and regulations guiding operations of MfBs as well as the provisions of the undertaken it signed.
The CBN said that the firm would be required to comply with the revised provisions whenever it becomes operational as the Revised Regulatory and Supervisory Guideline for MfBs in Nigeria (2012) is currently under review.
According to the statement: We refer to your application dated February 23, 2018 on the above subject and write to convey the CBN approval for your company to operate a MfB in the name of Joint Farmers Microfinance Bank Limited,'' it said.
Furthermore, they were advised to comply with the revised regulatory and supervisory guideline for MfBs (2012).
Source: Voice of Nigeria